Copper Mountain Posts Decrease In Q313 Cash Costs
News: Canadian exploration and development company Copper Mountain Mining has posted a 4% quarter-on-quarter decrease in its Q313 cash costs following improvements at its Copper Mountain mine in British Columbia, Canada, Mineweb reports. The decrease, which puts the company's total cash costs down to CAD2.22 (US$2.13) per pound, has been linked to the introduction of short-term solutions for the project's hard ore issues.
BMI View: Global demand growth for metals is likely to remain slow and a surplus of several base metals, including iron ore, zinc, and nickel, will persist over the coming quarters. However, decreasing ore quality at some major existing mines and risin g costs among major mineral exporters should encourage new exploration across Canada's untapped resources. While Canada is less cost competitive on a per-unit-of-output basis compared to some developing-world exporters, its technological, infrastructure, and governance advantages makes it an attractive investment destination. We therefore forecast positive, though modest growth, of 2.5% on average per annum between 2014 and 2017.