based on 2021 attributable production of just over 1 million tonnes, warned of further price weakness over the medium term. Additional tonnage from new projects and expansion in central Africa, Peru, Chile and Mongolia coming on stream through 2024 will keep the market well-supplied, said BHP, the world’s number one mining company by revenue.
However, from the mid-to-late 2020s prospects are significantly better according to Huw McKay, Vice President, Market Analysis & Economics. That is due to what BHP calls the ““A “take–off” of demand from copper–intensive easier–to–abate sectors is expected to be a key feature of industry dynamics from the second half of the 2020s forward: if not earlier.
“It is notable that while there has been some activity in the project space, the response has been timid when you consider both the very strong prices we have observed and copper’s future–facing halo effect. The company’s internal estimates show that in a plausible upside case for demand, the cumulative industry wide capex bill out to 2030 could reach $250 billion.