PDAC 2016: Mining companies will continue to dig into oversupply
Published: Monday, 07 March 2016
Easy financing options and further cost cutting, coupled with Chinese uncertainty, mean that mining companies are unlikely to relinquish market share in 2016. As a result, continued oversupply should keep prices in many markets low.
Mining companies have reacted to the
current downward cycle in bulk commodities by cutting costs
rather than supply – a trend that is likely to
continue throughout 2016, delegates attending PDAC in Toronto,
Canada heard this week.
According to CRU analyst Paul Robinson, mining operating
expenses were largely trimmed over the course...