The world’s second-largest copper mine remained closed, as Freeport McMoRan kept rescue efforts going within Indonesia’s Grasberg operation.
Via Reuters: “[A] statement made no reference to how long operations might be suspended at the mine, which also holds the world’s largest gold reserves. The initial impact on supplies is likely to be minimal, as the company keeps large stockpiles at the mine site. That would change if the closure drags on. The accident could also fray already fragile relations with the union, which went on a three-month strike in 2011…
“Around 50 percent of the mine’s copper is shipped to smelters that Freeport either owns or part-owns in Indonesia and the United States, analysts say.”
This Week’s Copper Prices
The week’s biggest mover on the weekly Copper MMI® was the cash price of primary copper, which saw a 2.9 percent decline on the LME to $7,095 per metric ton. This comes on the heels of a 6.4 percent increase the week before.
Following a 6.3 percent increase in the week prior, the copper 3-month price fell 2.9 percent on the LME last week to $7,125 per metric ton.
Chinese copper prices were down for the week. The price of Chinese bright copper scrap fell 1.3 percent after rising 6.9 percent the week before. Following a 5.7 percent increase in the week prior, the price of Chinese copper wire fell 0.9 percent last week. The price of Chinese copper bar fell 0.5 percent after rising 3.9 percent the week before. Following a 3.9 percent increase in the week prior, the Chinese copper cash price fell 0.5 percent last week.
The price of US copper producer grade 122 fell 1.2 percent after rising 6.4 percent the week before. Following a 6.4 percent increase in the week prior, the price of US copper producer grade 110 fell 1.2 percent last week. The price of US copper producer grade 102 fell 1.2 percent after rising 6.1 percent the week before. The Japanese copper cash price finished the week 0.1 percent higher. Following a steady week, prices for Korean copper strip closed flat.
The Copper MMI® collects and weights 12 global copper metal price points to provide a unique view into copper price trends. For more information on the Copper MMI®, how it’s calculated or how your company can use the index, please drop us a note at: info (at) agmetalminer (dot) com.