The reason for the high zinc price in October 2021 (around 3,800 US dollars per ton of zinc) was the electricity crisis and the increasing demand for the base metal. Together with analysts, Investing News Network took on the topic of zinc prices. What has driven up prices for the metal recently has been high energy costs at smelters in Europe. Last year, demand for base metals increased as the world economy recovered, and vaccinations started. For the world excluding China, experts now expect demand to grow by 2.4 percent, not least because of the recovery in the automotive sector. In China, demand growth could fall an estimated 1.1 percent. This is because the effects of the economic stimulus programs are fading. Overall, however, demand is expected to remain healthy, including demand from developing countries.

Corona is a factor of uncertainty. Experts expect most of the disruptions to occur in the first quarter, perhaps into the second quarter, with a disruption allowance of 55,000 tons. But if smelter disruptions are larger and exceed the estimated 55,000 tons, the deficit could increase. This is because a zinc deficit is expected in 2022 due to recovering economies. A zinc price of $4,000 would be within the realm of possibility, some say. In 2023, new mines coming on stream could again tend to boost the zinc price. So, an investment in zinc companies might be a good idea at the moment.

China is home to Griffin Mining’s – https://www.youtube.com/watch?v=B0psAdJ4o48 – Caijiaying zinc-gold mine (88.8 percent stake). Despite some obstacles, production in 2021 was very encouraging, with a good 28 percent increase in zinc metal in concentrates.

Canada’s Kutcho Copper – https://www.youtube.com/watch?v=M-1LW2OIpqQ – is looking after the expansion and development of the Kutcho copper-zinc project in British Columbia.

Current corporate information and press releases from Griffin Mining (- https://www.resource-capital.ch/en/companies/griffin-mining-ltd/ -) and Kutcho Copper (- https://www.resource-capital.ch/en/companies/kutcho-copper-corp/ -).

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