Vedanta Resources Plc is not a happy camper, after copper and zinc production has dragged down the conglomerate’s bottom line.
According to Mineweb, the company is dealing with a host of troubles, among them mining bans in Indian states (e.g. Goa), energy policy roadblocks, access to land – and of course, lower metal prices. “Vedanta, which has a market capitalization of $4.4 billion, also said improving the productivity of its copper mines in Zambia was a priority for the current year,” according to the article. “In the last couple of months alone, [former Rio Tinto CEO Tom] Albanese has visited the country six times.”
As far as copper prices go, however, the daily slate looked good for US producer prices and several Chinese price points on the MetalMiner IndX.
At $3.87 per pound, US copper producer grade 110 price moved up 0.8 percent on Thursday, May 15, making it the day’s biggest mover. The price of US copper producer grade 122 inched up 0.8 percent to $3.87 per pound. The price of US copper producer grade 102 increased 0.7 percent to $4.06 per pound.
The Japanese copper cash price changed direction with a 0.5 percent drop. After two days of improving prices, the metal finished at JPY 732,000 ($7,189) per metric ton.
Chinese copper closed mixed yesterday. Chinese copper bar prices rose 0.7 percent to CNY 51,360 ($8,245) per metric ton. The cash price of Chinese copper gained 0.7 percent to finish at CNY 51,560 ($8,277) per metric ton. Chinese copper wire prices inched up 0.1 percent to CNY 50,150 ($8,051) per metric ton. The price of Chinese bright copper scrap was unchanged at CNY 44,300 ($7,112) per metric ton.
The 3-month price of copper saw little price change on Thursday on the LME at $6,844 per metric ton. Also on the LME, the primary copper cash price held steady around $6,884 per metric ton.