BHP projects copper demand to rise by 1 million tonnes annually until 2035
The company expects that by 2050, the energy transition sector will represent 23% of copper demand.
Teck Resources will focus on organic growth as there is a risk of paying too high a premium for takeovers, its CEO said on Monday.
Chief Executive Jonathan Price said the company is developing several mining projects, but will monitor the market, when asked about M&A at a seminar kicking off the LME Week industry gathering in London.
“Our strategy remains very much one of organic growth for the projects that we have in our portfolio,” he said.
“Of course, like everybody we can stay connected to the market to see if there’s anything out there that would offer particular synergies.”
“In a very competitive market when everybody’s looking for the same assets how do you avoid paying away all of the value through the premium?”
In July, Teck beat second-quarter profit estimates on the back of higher production volume from its Quebrada Blanca (QB) copper mine in Chile and higher prices.
The company cut its full-year copper production guidance to 435,000 metric tons to 500,000 tons due to an expected fall in QB mine output.
(Reporting by Eric Onstad and Felix Njini, Editing by Louise Heavens)
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