Increase in price of copper opportunity for MSC Bor – Value of ore in stock exchanges increases by 28% in three weeks

The price of copper exceeded USD 6,000 per ton for a short while last week and was on its way to marking its largest weekly growth up till then. Following experts' projections that the value of the ore would remain low for at least two more years due to the volume of the supplies, new political events in the world have impacted the copper market as well and provided MSC Bor with an opportunity to improve its balances.

Metals are currently the focus of attention of investors, who are still deliberating on the promise made by Donald Trump regarding the injection of a large amount of money in the American infrastructure.

The price of copper in New York increased by as much as 7.6% to USD 6,025 per ton, which is the largest daily growth since 2009, whereas in London it was USD 5,956. In only three weeks, prices of copper jumped by as much as 28%. The prices of other industrial other industrial metals also increased, with nickel going up by 1.8% and zinc by 0.9%.

Copper was being sold for USD 4,000 per ton for months, far more than the 2011 price of USD 11,000.

– The increase of the price of copper can benefit MSC Bor so much as to make a mine whose price for a ton of copper is USD 6,000 competitive and it can also increase its exploitation capacities. This means that the company could continue operating normally, but only if it didn't have debts, of course – says Milorad Panovic, president of the Branch trade union of workers in chemistry, non-metals, energy and mining “Nezavisnost”.

The Association for Metallurgy at the CCIS says that companies making copper-based products and those processing copper could be negatively impacted by the change.

Nevertheless, at the Sevojno copper-rolling plant, they explain that they are not directly impacted by the increase in the price of the raw material and that it is reflected in manufacturing companies only.

As many as 500 MSC Bor workers have been sent on a compulsory leave, Nezavisnost claims.

– Employees have had their salaries reduced by 10%, and the number of those sent on compulsory leaves is growing day by day. This is most probably being done in order for the year to end with results better than what is realistic – the union adds.

Serbia Zijin Copper doo Bor

Valjaonica bakra a.d. Sevojno

Udruženje za metalnu i elektro industriju PKS Beograd

Branch trade union of workers in chemistry non metals energy and mining Nezavisnost

Association for Metallurgy at the CCIS

price of copper

price of nickel

price of zinc

Milorad Panovic

production of copper products

copper processing