London copper prices hit $10,000 per tonne for the first time since 2022.

In 2023, global copper production was 22 million tons, of which Zambia produced 760,000 tons and Congo gold produced 2.5 million tons, accounting for 3.5% and 11.4%, respectively. Zambia has important copper mines such as Sentinel, Kansanshi, and Konkola, and Congo Gold has important copper mines such as Kamoa-Kakula, TFM, KFM, Dikulushi, and Lonshi.

SDIC Securities released a research report saying that Zambia is cutting electricity supply, and the China-Africa copper belt is facing a reduction in production. If the production of 1/5 of mining companies in Zambia is affected, it is estimated that 152,000 tons of copper production will be affected.

Copper mine production cuts continue to occur, and expectations for the resumption of production at the Cobre Panama and Sossego copper mines, which were cut off earlier, have been postponed again.

The United Kingdom and the US sanctioned Russian metals and restricted Russian aluminum, copper and nickel transactions in LME and CME. Russian Copper accounts for 62.1% of LME inventory, which limits delivery or raises market concerns about the risk of overclosing positions. The supply-side logic continues to be implemented, and we continue to be optimistic that the copper price will move further upward after the breakthrough.

Companies related to the copper ore sector:

Luoyang Molybdenum Industry (03993), Zijin Mining (02899), Minmetals Resources (01208), Jiangxi Copper (00358), Jinchuan International (02362).