Noranda Income Fund Unit T.NIF.UN

Glencore says it has no plans to restart idled zinc mines

[Bigbird9999]

I could not find another source but this was reported.  LME stocks keep falling and this keeps upward pressure on LMe Zn price.

https://www.stockhouse.com/news/newswire/2017/05/05/glencore-has-no-plans-to-restart-idled-zinc-mine-capacity

The global zinc market is getting a boost after Glencore said this week it has no plans to restart its idled zinc mine capacity in Peru and Australia.

Analysts have been bullish on the outlook for zinc in part because the market is facing a growing supply deficit and shrinking inventories caused by a flurry of zine mine closures in recent years.

However, some market watchers have expressed the concern that Swiss metals trader Glencore might spoil the party by bringing back some the 500,000 tonnes of mine production that it elected to shut down in October 2015.

Now it seems that traders need not worry about the idled assets, which include Iscaycruz (Los Quenuales) and Lady Loretta, which are expected to remain on care and maintenance indefinitely.

Glencore is forecasting a 9% increase in its zinc production in 2017, compared to 2016 levels, a rise that will be driven by zinc-rich ore mined from the Antamina operation in Peru.

Glencore’s 2017 share of zinc production from Antamina is forecast to be 116,000 tonnes, a 74% increase from 2016.

However, according to a Scoitabank report, the Swiss firm’s production forecast will be reduced by approximately 75,000 tonnes when the sale of its Rosh Pinah and Perkoa mines in Namibia and Berkina Faso (respectively)  is complete.

BB