Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
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Fabrication demand is forecast to grow by 4% in 2011. Industrial offtake is set to rise, in spite of the Japanese earthquake, weak economic growth in western economies and the end of stock replenishment. Jewellery demand is likely to edge higher despite stronger silver prices, while silverware and photography will weaken further. Demand for coins and medals, however, is set to establish a new record high, achieving the largest gain, in volume terms, of any category of fabrication demand in 2011. Supply – further, noteworthy gains are forecast for mine production and scrap in 2011, although these will be countered by a heavy fall in government sales and, to a lesser extent, producer hedging. (more…)
