"In the long game, ‘copper is gold’ as the demand for the base metal will suffer significant supply deficit due the demands of the ‘EV revolution’, related battery storage sector, the continued growth of ‘green energy’ and global infrastructure demands. This deficit is due in part to the lack of high quality copper readily available and the simple realisation there has not been sufficient investment in new projects in recent years.
The present price retracement of copper, as well as the entire base metal sector, only exacerbates the concern, as the development of more speculative and or early projects will be jeopardised and thus create further fundamental strength going forward.
Said simply, in the long game copper is gold."
John K. Davies TNR Gold, Special Advisor to the Board
Green Energy Metals Royalty Company: TNR Gold Appoints John Davies As Special Advisor To The Board.
"I would like to welcome John to the TNR Gold team," stated Kirill Klip, Executive Chairman of TNR. "John brings to TNR many years of business and financial experience and I am looking forward to working with him on integrating our company into the international capital markets and extending our royalty portfolio in Green Energy Metals."
InvestorIntel: TNR Gold Fine Tuning Royalty Model For Green Energy Metals.
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Please read legal disclaimer. There is no investment advice on this blog. Always consult a qualified financial adviser before any investment decisions. DYOR.
Tesla Energy rEVolution: TNR Gold CEO On The Beginning Of A Megatrend Led By Electric Cars.
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Introducing GEM Royalty Co. - The Green Energy Metals Royalty Company TNR Gold Corp.
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TNR Gold Los Azules Copper Royalty With McEwen Mining: Tesla Supercharging Mining M&A - Copper Supply Woes On Show With World No. 2 Mine Output To Halve.
Bloomberg is reporting on the further stress coming to the copper supply side. We have the manifestation of the new commodity investment supercycle when two megatrends are converging to create the tectonic shift in the marketplace. The Switch to Renewable Energy Generation and sustainable consumption with Solar, Wind and Electric Cars will demand the secure supply of Green Energy Metals like Copper and Lithium. And this explosive growth in demand for copper will be met with supply side struggling with Resource Nationalism, Labor distractions and head grade going lower all across the industry.
“The problems facing copper supply are meaningful, widespread and generally underestimated," said David Lilley, managing director of Drakewood Capital Management. "It seems like wherever you look there are challenges be they political, labor unrest, under-investment, ore-grade depletion or some combination of them all." Bloomberg.
Bloomberg is showing these technical challenges for Freeport McMoran at Grasberg copper mine very well today. Years of junior mining sector starvation for capital for exploration resulted in a lack of supply for the new major projects to replenish the production pipelines. "The World's Biggest Miners Want More Copper, But Nobody's Selling."
New projects must be developed and the new wave of M&A will help to redistribute the known resources. But this mining development will take years to bring production online, price shocks are imminent and the Copper price will have to go much higher to allow these new projects development. Next, we can expect the revaluation of copper in the ground for the juniors holding promising properties going into the development stage.
And now majors, finally, have some money to spend on the new acquisitions. In the sharp contrast to the junior mining situation, major mining companies have managed to repair balance sheets. "World's top miners have strongest balance sheets in years." Diversification from coal assets must help as well with pressure from institutional investors. The copper investing game when "Red Metal Goes Green" will be the new mantra for pension funds seeking stable returns with a sustainable profile for the next decade.
LEGAL DISCLAIMER
Please read legal disclaimer. There is no investment advice on this blog. Always consult a qualified financial adviser before any investment decisions. DYOR.
TNR Gold holds NSR Royalty on Los Azules with McEwen Mining with a very impressive USD $127 million potential undiscounted cash flow presented by McEwen Mining in their PEA. I must mention that TNR Gold QP was not able to verify any data presented by McEwen Mining and no indication of values should be taken as an investment advice here, as usual.
TNR Gold Los Azules Copper Royalty With McEwen Mining: Supercharging The Power House In Argentina - Barrick Gold And Shandong To Take Partnership To The Next Level.
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