Copper shortage

The current copper shortage can also be seen from the fact that spot prices on the LME (London Metal Exchange) are higher than forward prices. This could change. Copper buyers will have to dig deeper into their pockets for today's purchases, as the physical shortage means they will have to use the spot market. Future trade agreements and further tariff developments are likely to have an impact on the copper price. On the other hand, copper stocks on the Comex (New York Commodities Exchange) have increased, which in turn suggests market shifts rather than shortages.

The International Copper Study Group assumes that there will be a supply surplus in 2025 as a whole. There was a supply deficit in March and April 2025. However, as long as the USA continues to demand copper strongly due to the threat of US tariffs, inventories should decrease. And copper should also be in high demand in the future, especially due to the boom in the energy transition, artificial intelligence and electromobility. After all, copper is the best electrical conductor after silver. More than half of copper is consumed by the electrical engineering and energy sectors. Many countries, not just China and the USA, are investing massively in the renewal of power grids. The fact that climate change and the increasingly frequent heatwaves that occur as a result can lead to problems in the electricity grid can currently be seen in Italy. There have been massive power outages there. The reason was high temperatures and the use of air conditioning. As copper demand is generally expected to rise, companies should back the right horse with copper.

In the copper sector, Mogotes Metals - https://www.commodity-tv.com/ondemand/companies/profil/mogotes-metals-inc/ - has promising projects in Chile and Argentina, which contain copper and gold. The Filo Sur copper project (Argentina) appears particularly promising.

The Arizona Sonoran Copper Company - https://www.commodity-tv.com/ondemand/companies/profil/arizona-sonoran-copper-company-inc/ - is working on the Cactus project in Arizona, among others. The preliminary economic assessment (PEA) and the infrastructure are excellent.

Current company information and press releases from Arizona Sonoran Copper Company (- https://www.resource-capital.ch/en/companies/arizona-sonoran-copper-company-inc/ -) and Mogotes Metals (- https://www.resource-capital.ch/en/companies/mogotes-metals-inc/ -).

In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.

Disclaimer: The information provided does not represent any form of recommendation or advice. Express reference is made to the risks in securities trading. No liability can be accepted for any damage arising from the use of this blog. I would like to point out that shares and especially warrant investments are always associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make errors, especially with regard to figures and prices. The information contained herein is taken from sources believed to be reliable, but in no way claims to be accurate or complete. Due to court decisions, the contents of linked external sites are also co-responsible (e.g. Landgericht Hamburg, in the decision of 12.05.1998 - 312 O 85/98), as long as there is no explicit dissociation from them. Despite careful control of the content, I do not assume liability for the content of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: https://www.resource-capital.ch/en/disclaimer/.