Click heBHP Billiton is a massive Australian mining firm second to Glencore and chased by Rio Tinto. It is a large global player with a global outlook and understanding. Daniel Malchuk, President to f Operations, Minerals America’s spoke at the LME Week Bloomberg Forum some months ago in London and brought up some key point about copper.
The fundamentals for copper are great and the green revolution is a great place to start with:
These are electric vehicles and renewable energy… and fortunately Copper is ideally placed to benefit from the expected upsurge in demand from both.
The rise of renewables is a positive story. Thanks to strong policy support and major technical improvements, wind and solar power generation have increased nearly 50-fold since 2000!
Solar’s share of global power generation has more than doubled in just three years – yet still accounts for a small slice of the total energy mix.
Solar requires 5kg of copper per kilowatt that is more than double other types of energy! Danial Malchuk goes on to mention that an electric car uses about 40kg of copper more than a petrol car and that 140 million electric cars are expected to be on the road by 2035. That is an incredible demand.
“Based on total refined copper output, the value of the copper market could increase by over 50 per cent by 2035 – an opportunity worth seizing!”
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