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Published

55 mins ago

May 10, 2024 Graphics/Design:

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Visualizing Copper Production by Country in 2023

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Copper is considered an essential metal for the clean energy transition because it is a great conductor of electricity.

As a result, governments around the world have been encouraging the construction of new mines, and mining companies have been seeking new projects and acquiring existing mines to meet the growing demand.

In this graphic, we illustrate global copper production in 2023, based on data from the U.S. Geological Survey, Mineral Commodity Summaries, as of January 2024.

Most Copper Comes from South America

Chile and Peru account for one-third of the world’s copper output.

CountryRegion2023E Production
(Million tonnes) 🇨🇱 ChileSouth America5.0 🇵🇪 PeruSouth America2.6 🇨🇩 Congo (Kinshasa)Africa2.5 🇨🇳 ChinaAsia1.7 🇺🇸 United StatesNorth America1.1 🇷🇺 RussiaEurope/Asia0.9 🇦🇺 AustraliaOceania0.8 🇮🇩 IndonesiaAsia0.8 🇿🇲 ZambiaAfrica0.8 🇲🇽 MexicoNorth America0.7 🇰🇿 KazakhstanAsia0.6 🇨🇦 CanadaNorth America0.5 🇵🇱 PolandEurope0.4 🌍 Rest of World–3.1 World total (rounded)–21.5

Chile is also home to the two largest mines in the world, Escondida and Collahuasi.

Meanwhile, African countries have rapidly increased their production. The Democratic Republic of Congo, for example, transitioned from being a secondary copper producer in the late 1990s to becoming the third-largest producer by 2023.

Part of the growth in copper mining in Africa is attributed to high investment from China. Chinese mining companies represent 8% of Africa’s total output in the mining sector.

Within its territory, China has also seen a 277% growth in copper production over the last three decades.

In the U.S., Arizona is the leading copper-producing state, accounting for approximately 70% of domestic output. Copper is also mined in Michigan, Missouri, Montana, Nevada, New Mexico, and Utah.

Published

30 seconds ago

May 8, 2024 Graphics & Design Visualizing the Copper Investment Opportunity in One Chart

Copper is essential for clean energy applications such as solar panels, wind turbines, and electric vehicles (EVs), as well as for expanding electrical grids.

The surge in demand for the metal, driven by the growing adoption of these technologies, presents a unique investment opportunity for early investors in copper mining companies.

This chart by Sprott explores the growing gap between copper supply and demand until 2050, based on projections from BloombergNEF’s Transition Metals Outlook 2023.

Projected Copper Supply vs. Demand

Copper is naturally abundant on Earth, but extracting the metal at the pace necessary for an electrified economy could be a challenge. The timeline for bringing a copper mine from discovery to production is lengthy, averaging over 16 years.

Top producers like Chile and Peru are facing strikes and protests, along with declining ore grades. Russia, ranked seventh in copper production, faces an expected decline in production due to the ongoing war in Ukraine.

Meanwhile, the increasing adoption of carbon-free technology only highlights copper’s significance.

High Demand for Transport and Electricity Grid

The demand for copper in the transport sector is projected to increase by 11.1 times by 2050, from 2022. EVs, for example, can contain more than a mile of copper wiring.

Additionally, the demand for copper needed to expand the global electricity grid is projected to increase by 4.8 times by 2050, from 2022.

By 2030, the copper supply gap is projected to approach 10 million metric tons, with both copper prices and copper mining stocks potentially set to benefit.

As the world embraces clean technologies, the search for and expansion of copper mines will be essential. Early investors who gain exposure to copper miners may benefit from the rapidly increasing demand.

Sprott offers convenient exchange-traded alternatives for investors seeking exposure to copper miners.