The price of copper (HG) started a strong bullish trend in February after dipping to $3,70 and has gained $1 since then, gaining around 30% in value, sending copper to $4.70. Last week we saw a dip below $4.50, but the uptrend resumed pretty fast and the price is heading for new highs now.
Goldman Sachs has revised its commodities and particularly the copper projection from $10,000/tone to $12,000, reflecting the increasing trend towards scarcity in the copper market in 2024, particularly in the concentrate segment. With no immediate solution in sight for near-term mine supply, the market may resort to demand rationing to maintain functionality.
Some of the sectors which will increase the demand for copper are the electric car infrastructure and Automation, which are all undergoing rapid expansion. According to commodity broker Trafigura, this trend is anticipated to increase copper consumption by at least 10 million metric tonnes over the next decade.
London-listed company KEFI Gold and Copper plc (LON:KEFI) is an exploration and development company focused on gold and copper deposits in the highly prospective Arabian-Nubian Shield. The Company operates in Ethiopia and Saudi Arabia with projects including Tulu Kapi project, Jibal Qutman EL and Hawiah.
