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Weekly Roundups

Mexico’s Pipeline Moves Forward Amid Rising Metals Markets

By Alejandro Ehrenberg | Thu, 06/18/2020 - 16:41

The Week in Mining highlights upward trends in precious and base metals’ markets, as well as Tesla’s cobalt deal and 2020’s muted M&A market.

 

Mexico                                                                                   

Accendo Banco and Telson Mining have joined forces to bring to fruition the Tahuehueto gold project in Durango. Accendo Banco’s US$12 million loan means the project will be fully built in 2021.

https://bit.ly/37MLe8j

Kootenay Silver announced assay results from the first core hole completed at its Copalito silver-gold project in Sinaloa. Drilling returned a cumulative 8m grading 248 gpt silver and 0.562 gpt gold.  

https://bit.ly/3denoDm

 

Metals

The price of gold is currently in the low US$1,700s. Given the massive economic and political turbulence in the world, one could expect demand for precious metals to be much higher than it currently is. 

https://bit.ly/37Glx9g

FX Empire says that the silver market “is trying to go higher, as it has plenty of support underneath.” 

https://bit.ly/3hDferL

The New Zealand Herald reported that “copper prices climbed after promising trials of a COVID-19 treatment and strong US economic data prompted more buying among traders.”

https://bit.ly/3fCD6tE

 

Trends

Tesla disclosed a deal to secure its cobalt supply from the Democratic Republic of Congo. The deal with mining giant Glencore's Katanga Copper Company is set for a supply of 6,000 tons of cobalt per year.

https://bit.ly/2Cf29od

Collecting data frequently is key for the mining industry to improve its tailings dam monitoring techniques. The COVID-19 outbreak and the mobility restrictions at mining sites bring to the forefront the need for innovative monitoring techniques. Satellite and IoT solutions can help.

https://bit.ly/30QXbZj

Kitco News reported that “money is flowing into the mining sector, but M&As could be muted by COVID-19 restrictions. The biggest deal in 2020 has so far been SSR Mining-Alacer at US$2.4 billion.”

https://bit.ly/37GSrGV

Alejandro Ehrenberg Alejandro Ehrenberg Journalist and Industry Analyst