Dozens of mines closed last year but another 175 million tonnes will have to drop out to neutralize 2015 output growth, which unlike copper is de-risked.
Strong fundamentals will lift the price, but all bets are off if the many ETF investors who bought between $20–$30 lose confidence and start liquidating en masse.
Oceanagold (TSX, ASX:OGC), an Australia-based gold producer, will start winding down its New Zealand mines to focus on lower-cost production in the Philippines, where it runs the Didipio copper-gold mine north of Manila.