Monthly Mining Project Roundup
Latin America and Africa were the main destinations for new mining projects announced over the past month and companies focussed on precious metal and copper deposits. Africa will remain a centre of mining exploration as improved business environments combine with a multitude of untapped high-grade reserves. Indeed, we expect Chinese and Indian companies t o continue to explore in Africa given political links and the need to plug structural deficits ( see BMI Online, 'Africa: Mining Sector Outlook', July 4 ) .
We have seen a plethora of projects announced in Australia of late, illustrating that the mining boom in the country is far from over. We expect Australia to remain at the forefront of new projects even as China slows down and metals prices weaken ( see: 'Mining Boom Takes A Breather, But It's Not Over Yet', October 15). Australia has one of the best business environments in the world and the presence of substantial high grade mineral reserve will ensure that mining remains profitable even with lower prices. In terms of minerals, gold projects continue to take precedence and this is likely to continue as gold prices remain elevated, averaging US$1,775/tonne in 2013 and US$1,875/tonne in 2014 (see: ' Gold To Average US$1,775/oz In 2013').
|Elevated Gold Prices To Sustain Exploration|
|Projects Announced By Location (LHS) & Mineral|