After Glencore Xstrata sold Las Bambas to China’s MMG, it revealed recently for the first time that the company made a total of $7 billion on the deal – so they decided to give back.
What To Do With the Money?
– “Glencore will continue to look for opportunities to reinvest capital,” the company said on Friday.
– Outside estimates say “the company would return $3 billion to $5 billion over 12 to 18 months, rather than in a single hit.”
Las Bambas is said to begin producing 2 million tons of copper in the first five years, starting in 2015.
Weekly Copper Price Roundup
Rising 2.4 percent to JPY 768,000 ($7,473) per metric ton made the cash price of Japanese copper this week’s biggest mover on the weekly Copper MMI®. Following a 1.3 percent increase in the week prior, the price of US copper producer grade 122 fell 0.8 percent last week to $3.92 per pound. The price of US copper producer grade 110 fell 0.8 percent to $3.92 per pound after rising 1.3 percent the week before. Following a 1.2 percent increase in the week prior, the price of US copper producer grade 102 fell 0.7 percent last week to $4.11 per pound. At KRW 9,640 ($9.41) per kilogram, the week finished with no movement for Korean copper strip.
Chinese copper prices were mixed for the week. The price of Chinese copper wire declined 0.8 percent over the past week, settling at CNY 50,405 ($8,165) per metric ton. The price of Chinese copper bar fell 0.3 percent to CNY 51,530 ($8,347) per metric ton after rising 0.9 percent the week before. Following a 0.9 percent increase in the week prior, the Chinese copper cash price fell 0.3 percent last week to CNY 51,730 ($8,379) per metric ton. Chinese bright copper scrap traded sideways last week, hovering around CNY 44,300 ($7,176) per metric ton.
The 3-month price of copper fell 0.3 percent on the LME to $7,120 per metric ton after rising 1.4 percent the week before. Following a 1.7 percent increase in the week prior, the primary copper cash price fell 0.2 percent on the LME last week to $7,135 per metric ton.
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.