According to preliminary data from the International Copper Study Group (ICSG), global mining production is estimated to have decreased by about 2% in 2017, with condensate production declining by 1.6% and the extraction of solvents-electrolytic (SX-EW ) by 3%.
Mining production declined 4% annually in the 1st half of 2017 due to a series of restrictions on supply, but the situation improved in the 2nd half, while production remained substantially stable year-on-year, but increased by 10% compared to the 1st Half of 2017.
The decline in world mining production is mainly due to:
-A 1% reduction in Chile, the largest copper mining country in the world, which was adversely affected by the Escondida mine strike in the first part of the year and lower production from Codelco mines.
-The reductions in the production of condensate in Argentina, Canada and Mongolia were 59%, 14% and 14% respectively, mainly due to lower grades in the planned mining analysis and the Argentine Alumbrera mine which It was nearing the end of life.
-A 12.5% reduction in the production of Indonesian dense, as a result, was limited by the temporary ban on the export of condensates that started in January and ended in April.
-and a 12% decrease in production in the United States is mainly due to lower grades of ores, reduced mines and adverse weather conditions at the beginning of the year.
On a regional basis, mining production is estimated to have declined by 2% in America, by 4% in Asia and by 5% in Oceania, while in Africa and Europe (including Russia) it increased by 2.5% and 2% respectively.
However, the index on the London Stock Exchange recorded minor changes, as it was USD 294 per tonne in the course of 40 days. In particular, the index up to 09:08 22/3/18 is recorded on a steady course with the price based on 6828 dollars per tonne. This attitude does not create concerns for investors, the alarming point is in the steep falls recorded 7/3 -9/3 and at 19/3/21 (see graph). Its stock increased dramatically from the 22/1/18 where it continues until today 22/3/18, as shown in the graph does not help its evolution. It therefore does not create a foundation for growth for the future.