(BN) Copper Boom Is Just Beginning for the CEO of Gold GiantCopper Boom Is Just Beginning for the CEO of Gold Giant Newmont
2021-04-29 16:28:51.795 GMT
By Daniela Sirtori-Cortina
(Bloomberg) -- Copper may be flirting with record highs but
the metal is far from peaking as the energy transition revs up,
according to Newmont Corp. Chief Executive Officer Tom Palmer.
Futures hit $10,000 a metric ton on Thursday for the first
time since 2011 as mines struggle to keep up with surging
demand. Newmont, the world’s largest gold producer, is
increasing exposure to copper through several “mega projects,”
Palmer said on an earnings call. Even if just one materializes,
copper will account for 15-20% of the company’s total output by
the end of the decade, he said.
“I’m pretty excited about having good exposure to copper at
that time when the world is going through the energy
transition,” Palmer said on an interview with Bloomberg TV
following the earnings call. “Copper’s got a pretty good story
in front of it. I think its day in the sun is more towards the
end of this decade.”
The copper push doesn’t mean Palmer has a downbeat view on
gold. He sees bullion prices holding their current “very healthy
levels” or even moving higher given fiscal and monetary
stimulus. India should remain one of the key sources of demand
after the country recovers from the Covid-19 tragedy, Palmer
said.
--With assistance from Alix Steel, Joe Deaux and Guy Johnson.