Billionaire mining magnate Robert Friedland has predicted a serious copper shortage for the world in the near future. He was quoted by the Financial Times (FT).
In his opinion, the reason for this development will be the growing geopolitical tension that is disrupting the international order, and thus, global supply chains. Friedland noted that the deterioration of relations between the U.S. and China complicates and increases the cost of acquiring the necessary equipment for mining companies. The result of this is delays in project implementation.
According to him, the negative consequences are already visible in the copper industry. Delivery times are increasing, and the construction of new mines is becoming increasingly expensive.
In this regard, the publication noted that the price of copper, which is widely used in various industries, has recently surged sharply. Last week, prices approached a record high of over $11,000 per ton.
Friedland predicts that the world is "on the brink of a serious copper shortage" that will occur by the end of this decade. Even more grimly, the chairman of the Chilean state copper mining company Codelco, Maximo Pacheco, views the situation. He stated that the shortage has already occurred.
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