The first round of China’s much-anticipated state metal reserves auctions needed only one of two days allotted for all the copper and aluminum on offer to be sold.

"The mining sector isn't close-minded to new revisions of the taxation system, if done with prudence," said Pedro Francke, Castillo's economic adviser.

China is releasing metal from state stockpiles as part of its campaign to restrain prices after factory inflation in May hit its highest level in 13 years.

San Rafael primarily produces silver, zinc and lead in the town of Cosala in Sinaloa state.

The Turnagain project in British Columbia is described as one of the significant undeveloped sulphide nickel and cobalt resources in the world.

It was reported last week that the company was in talks to sell a stake in the project.

A jump in demand for traditional lead-acid car batteries and lingering freight problems have created shortages that have been felt most acutely in the huge US automotive sector.