Date post: | 12-May-2015 |
Category: |
Economy & Finance |
Upload: | objective-capital-conferences |
View: | 990 times |
Download: | 0 times |
INDUSTRIAL METALS, MINERALS & MINEABLE ENERGYINVESTMENT SUMMIT
IRONMONGERS’ HALL, CITY OF LONDON ● THURSDAY, 3 NOV 2011
www.ObjectiveCapitalConferences.com
Industrial Minerals – Routes to opportunitiesBrian Coope – Industrial Minerals Analyst
Industrial Minerals – Routes to Opportunities
• Brian Coope – Industrial Minerals Analyst
• Differences between Industrial Minerals and Metallic Ores and Fuel Minerals
• No terminal markets, lack of standardisation, close relationship between mineral and market, multi-product, multi-use
Exploration begins with markets
SIX STAGES OF A PROJECT
1. Enthusiasm2. Disillusionment3. Panic4. Despair5. Search for the Guilty6. Punishment of the Innocent7. Decorations for those who took no part
Routes to Opportunities
• Shortages and rising prices• Critical lists • Focus on China • Technology changes• Legislative and environmental changes
Potash price spike in 2009
Moon journeys – Zircon 1974
Reason: Japanese refractory technology shift
19701973
19761979
19821985
19881991
19941997
20002003
0100200300400500600700800900
Zircon Price US$/tonne
US$
/ton
ne
Zircon Moon journeys 1974, 1989, 1995 and….
Zircon Moon journeys ……and 2011
19701973
19761979
19821985
19881991
19941997
20002003
20062009
0
500
1000
1500
2000
2500
Zircon Price US$/tonne
Price $/t
Critical Lists1982 2010 2011
House of Lords EU BGS
Antimony Antimony Antimony
Chromium Beryllium Bismuth
Cobalt Cobalt Bromine
Manganese Fluorspar Graphite
Molybdenum Gallium Mercury
Niobium Germanium PGM
Nickel Graphite Niobium
PGM Indium Rare Earths
Phosphate rock Magnesium Strontium
Tantalum Niobium Thorium
Titanium PGM Tungsten
Vanadium Rare Earths
Tantalum
Tungsten
EU Critical Raw Materials Study 2010Rare Earths
Barite FluorsparGraphite
ChromiteManganeseDiatomite
Talc Perlite
Lithium BoratesBentonite Silica Titanium
Magnesite
MagnesiumAntimony
Bauxite
BGS Risk List 2011 – Top TenElement Risk Index Leading producerAntimony 8.5 ChinaPlatinum group 8.5 South AfricaMercury 8.5 ChinaTungsten 8.5 ChinaRare Earths 8.0 ChinaNiobium 8.0 BrazilStrontium 7.5 ChinaBismuth 7.0 ChinaThorium 7.0 IndiaBromine 7.0 USAGraphite 7.0 China
China’s role in world IMs
• 1970s – only a few industrial minerals exported – specialist traders Canton Fair
• 1980s -- Established trade but low prices lead to anti-dumping
• 1990s – Rise in quality and value-added products
• 2000s – Increasing domination across the board, export tariffs & quotas, enforced closures of illegal and hi-polluting operations
Technology Changes
• Clean Energy Technologies – Batteries, Magnets, Phosphor lighting, Solar cells– Rare earths, lithium
• TV screens – CRTs to Flat screens– Strontium down, rare earths up
• Steelmaking and refractory technology– Magnesia, graphite, alumina, spinels, zircon &
zirconia
Legislation & Environmental Changes
• Asbestos -- wonder-material but deadly
– No single substitute– Reinforcing -- glass, ceramic, cellulose, Wollastonite, Talc. Mica– Insulation -- glass fibre, mineral wool, ceramic fibre, perlite, vermiculite– Gaskets, graphite, wollastonite, glass fibre
• Fire hazards -- polystyrene ceiling tiles -- perlite again • Fire retardants -- oxides/hydroxides of aluminium, magnesium,
antimony -- bromine• Emissions -- FGD limestone to gypsum• Waste & water treatment
Opportunities in Industrial Minerals – which route?
• Most likely to arise for existing IM producers– Specialised media “Industrial Minerals”, Conferences, etc– Approaches from exploration companies
• But exploration companies in Gold, Base Metals, & Oil– May have a regional advantage. When in West Africa,
Siberia, or wherever – Take an interest in local minerals and mineral-based
industries – Wealth of data often available