MOSCOW, December 4. /TASS/. Copper production is forecast to grow by 2% this year and by 3% more in 2024, the Russian mining and metals major Norilsk Nickel says in its metal market review.
"The expectation is that metal production will add 2% in 2023 and the incremental growth rate will stand at 3% in 2024, facilitated by the launch of such projects as Quebrada Blanca Phase 2 (Chile) and Oyu Tolgoi (Mongolia), concentrate production start at the Udokan deposit (Russia), and implementation of the capacity expansion program for the Kamoa Kakula deposit (Democratic Republic of Congo)," the company said.
Norilsk Nickel at the same time underscores the need of increasing copper mining on new deposits in the future. "More new projects will be required in the long run to prevent the copper deficit appearance, since the demand for the metal will grow amid greater electrifying of transport, development of renewable energy sources and the associated expansion of power supply networks," the company noted.
Refined copper production will grow by 4% in 2023 and by 2% in 2024 on account of new refining capacity to be brought on stream in China, Norilsk Nickel said. Disruptions in metal supplies are expected at a level of about 5.5%, which is close to the average value, and the refined copper market will be balanced in this and in the next year.
The demand for copper lost 4% in Europe, 2% in North America, and gained 5% in China, which is below expectations. This facilitated growth of global commodity exchange inventories along side with higher imports of copper concentrate and scrap and the launch of new processing facilities, although they are still at historically low levels, Norilsk Nickel added.