We are delighted to invite you to participate in the 23^rd China International Foundry Expo, the 18^th China International Diecasting Industry Exhibition, 18^th International Nonferrous and Special Casting Exhibition (METAL/DIECASTING/NONFERROUS CHINA 2025), hosted by China Foundry Association from May 20-23 at the National Convention and Exhibition Center, Tianjin. This premier event will bring together industry leaders, innovators, and professionals from around the globe to showcase the latest advancements in the metalcasting industry.

Why Attend?

– Explore Innovations: Discover cutting-edge products, services, and technologies from over 1000 exhibitors.

-Networking Opportunities: Connect with industry experts, potential partners, and decision-makers.

-Insightful Sessions: Attend keynote speeches, panel discussions, and workshops led by renowned thought leaders.

– Exclusive Demos: Experience live product demonstrations and interactive showcases.

Event Highlights: 

Dates: May 20-23, 2025

Venue: National Convention and Exhibition Center, Tianjin

Opening Hours: 9:00AM–5:00 PM  May 20-22

9:00AM–13:00PM  May 23

Registration: Reserve your complimentary pass via https://wap.show-link.net/aud/sign/en/index/ODgjLTEjZW5fYXVk

As a valued industry professional, your presence would greatly contribute to the success of this event. For participation or partnership inquiries, please visit https://www.expochina.cn/en/index  or contact us directly, limengmeng@foundry.com.cn

We look forward to welcoming you to the annual metalcasting event in May in Tianjin, China and fostering meaningful collaborations. Together, let’s shape the future of the foundry, nonferrous, diecasting industry!

Casting Hall: S1 – Discover the technology development of casting in various applications.

Materials Hall: S2, S7 – Explore advanced materials that shape the sustainable future.

Equipment Hall: S3, S6 – Witness state-of-the-art foundry machinery from melting, molding, pouring, treatment, as well as 3D printing, Additive manufacturing, etc..

Die Casting & Colored Hall: S8 – Experience innovative casting techniques

Concurrent events:

100+Parallel events will offer unparalleled networking opportunities and insightful discussions. Our esteemed audience includes professionals from various sectors who are at the forefront of industrial advancement.

Pre-registration benefits:

Simply scan the QR code to pre-register and enjoy 6 exclusive benefits:

– A comprehensive exhibition catalogue

– Personalized business matching services

– Complimentary coffee voucher

– Thoughtfully custom gift

– Exclusive VIP Pass

– Special social media interaction rewards

Top 6 Visitor Industries

• Casting (Ferrous)
• Foundry equipment
• Casting (Non-ferrous)
• Raw & auxiliary material
• Trade organizations
• User industry

Why You Should Attend

-Forecast & Trends: one of the most influential foundry events in the world, and the benchmark industry event will showcase the developments of the industry.

-Experience production processes in foundry technology: more efficient, sustainable and future-oriented.

-High-Caliber Program: Exciting forums and workshops with international experts.

-Start-ups Up Close: new products launches and showcases, with innovations from emerging companies.

-Diverse Applications: Immerse yourself in the world of metalcasting.

-Achieve Your Business Goals: Use this platform for networking and building new business connections to help achieve your objectives.

150,000 visitors from 58 countries and regions (2024 visitor data)

Join us and help shape the future of foundry technology–we look forward to your visit!

For more information, visit https://www.expochina.cn/en/expo/100011

China’s Green Energy Investments and Their Impact on Copper Demand

China’s commitment to renewable energy has led to unprecedented demand for copper, a metal essential to various green technologies. In electric vehicles, for instance, copper is vital in battery systems, motors, and inverters, requiring nearly three times more copper per unit compared to conventional gasoline-powered cars. This increase reflects a surge in EV adoption in China, which has aggressively pursued its electric vehicle goals through supportive policies, tax incentives, and infrastructure development. China already leads the world in EV sales, and demand for copper in this sector alone shows no signs of slowing down.

Solar and wind energy technologies also rely heavily on copper. Solar panels require copper for power conversion and transmission, while wind turbines use copper in their generators and power systems. In fact, wind farms are among the most copper-intensive installations in the renewable sector, with each megawatt of capacity requiring significant amounts of copper for wiring and connections. The International Energy Agency (IEA) predicts that by 2030, China will account for about 60% of the global expansion in renewable energy capacity. This rapid growth in green technologies positions China as a central player in copper demand, shaping global trends as other markets falter.

Global Copper Market Dynamics and the Risk of Oversupply

As China’s demand for copper surges, the global market faces the challenge of managing potential oversupply. The International Copper Study Group (ICSG) forecasts a surplus of 469,000 tons in 2024 and 194,000 tons in 2025, as increased mine production comes online. This situation stems partly from global copper production efforts, which were accelerated to meet anticipated demand but are now facing delays and logistical challenges. Supply chain disruptions—particularly due to limited raw material availability and geopolitical restrictions—further complicate the picture, leaving the copper market susceptible to price volatility and bottlenecks.

This supply-demand tension underscores the importance of new copper projects that can both stabilize and diversify the supply chain. One of these projects is the Warintza Project by Solaris Resources (TSX:SLS)(NYSEAmerican:SLSR), located in southeastern Ecuador. The Warintza Project is positioned to help bridge the gap in copper supply, with its strategic focus on sustainable and responsible mining practices. Projects like Warintza demonstrate how new sources of copper are critical, not only to address the supply deficit but also to support the broader push for cleaner energy worldwide. These initiatives will be needed to meet demand without driving prices to unsustainable levels or putting undue strain on existing resources, and investors have already taken note of how big the potential could be.

China’s Strategic Approach to Mitigating Supply Chain Challenges

Recognizing the potential risks of oversupply and the limitations of global supply chains, China is actively pursuing measures to ensure a stable and resilient copper supply. One such measure is the substitution of copper with aluminum in certain applications, particularly where high conductivity is less critical. Aluminum is more abundant within China and costs significantly less than copper, making it a feasible alternative for select industrial uses. By partially substituting copper with aluminum, China can reduce its dependency on imported copper, especially as raw material shortages loom in the coming years.

In addition to substitution, China is investing heavily in copper recycling to mitigate supply risks. Recycling copper from end-of-life products and industrial waste not only conserves resources but also reduces the environmental impact of mining. China aims to increase its recycled copper output from 2.5 million tons in 2024 to over 3.5 million tons by 2030, underscoring its commitment to a circular economy model. These efforts help balance supply and demand, offering a degree of insulation against market shocks while supporting China’s renewable energy ambitions.

Challenges and Opportunities in Securing Sustainable Copper Supply

While China’s demand has helped stabilize the global copper market, challenges persist in maintaining a steady supply chain. Political uncertainties, regulatory shifts, and environmental concerns have complicated the development of new mines worldwide. At the same time, existing mines face challenges related to declining ore grades, which increases the cost and complexity of extraction. These pressures highlight the importance of supporting new copper mining projects that can bring fresh supplies to the market and distribute production across different regions.

For instance, new mining projects in Latin America, such as those in Ecuador and Peru, offer promising avenues for copper extraction. However, these projects require significant investment in infrastructure, regulatory compliance, and environmental safeguards. As seen with the Warintza Project, a focus on sustainable mining practices can ensure that copper production meets both demand and environmental standards. This dual focus on new sources and sustainability is critical for securing the copper supply that renewable energy industries will need to continue expanding.

The Future of Copper in a Renewable Energy-Driven World

China’s role in stabilizing global copper demand underscores its influence in the renewable energy sector. By investing in EVs, solar panels, and wind energy infrastructure, China has driven copper demand and provided a much-needed buffer against market volatility. H

New copper mining projects will still be needed to meet global demand as China and other nations advance their renewable energy goals. These projects, combined with China’s strategies for substitution and recycling, are a pathway toward a more resilient and balanced copper market. As the global transition to cleaner energy continues, China’s proactive approach may be a model for managing the dynamics of copper supply and demand for other major economies in the future.

The Cortez Trend has been a focal point for gold mining in North America, hosting several large-scale operations. Similar in size to its renowned cousin, the Carlin Trend, located 50 miles to its northeast, Cortez deposits rank second in the world for their “Carlin-style” sedimentary rock-hosted and porphyry/epithermal formations.  Albeit lesser-known, in the last quarter of a century experts have posited the belief that the Cortez fault corridor could be older, larger and far more valuable than the Carlin Trend.

US Gold Corp’s Keystone Project which measures 20 miles over this trend, positions it strategically for bonanza type discovery potential.

Advances in geological understanding and mining technology have enabled companies to continually uncover new resources in the Cortez Trend, reinforcing its reputation as a critical hub for gold mining. Its success serves as a model for exploration efforts in other parts of the world, emphasizing the importance of detailed geological studies and sustained investment.

Keystone Project

Encompassing approximately 20 square miles, the Keystone Project is an under-explored area with complex intrusive-centered gold-bearing hydrothermal systems. U.S. Gold Corp. has consolidated mineral rights over this district, enabling comprehensive exploration efforts. The project’s geology shares similarities with other significant deposits in the Cortez and Carlin Trends, including comparable stratigraphy, lithologic characteristics, structure, and alteration patterns.

Since acquiring the Keystone Project, U.S. Gold Corp. has implemented systematic exploration programs, including gravity surveys, geochemical sampling, geological mapping, and scout drilling. These efforts have identified extensive areas with strong gold and pathfinder geochemistry, indicating the presence of a large epithermal gold system. Notably, the 2019 drilling program in the Nina Skarn target area encountered significant gold mineralization, with one hole reporting two thick intervals of oxidized, cyanide-soluble, gold-bearing skarn mineralization.

In September 2023, U.S. Gold Corp. completed a hyperspectral study of the Keystone Project, utilizing WorldView-3 satellite data to identify near-surface hydrothermal alteration zones. This study led to the discovery of multiple high-priority targets, enhancing the project’s exploration potential. Field investigations and sampling of these hotspots are underway to refine drill targets further.

The Importance of New Mining Projects to Global Economies

Developing new mining projects like Keystone, with its district-scale potential, can significantly impact local and state economies. Such projects often lead to job creation, infrastructure development, and increased tax revenues. In regions like Nevada, where mining is a critical industry, new projects contribute to economic diversification and stability.

As existing mines approach the end of their productive lives, discovering new deposits is needed to ensure the long-term viability of the sector. Newer exploration techniques, such as hyperspectral imaging, advanced geophysical surveys, and machine learning, have enhanced the ability to locate previously hidden reserves, and U.S. Gold Corp. will look to leverage these latest techniques and technologies as it expands the exploration potential of the Keystone Project.

BHP-Anglo American Merger

In recent years, prominent M&A activity has unfolded within the sector, especially involving giants like BHP and Anglo American. BHP’s bid to acquire Anglo American, valued at roughly $39 billion, is one of the most substantial attempts to consolidate the market. If successful, this acquisition could position BHP as a major player with control over a significant share of global copper production. This would enable BHP to secure substantial copper assets, enhance its operational scale, and ensure it can meet future demand. However, the deal has not gone without scrutiny. Anglo American has resisted initial offers, arguing that the bid undervalues its extensive asset portfolio, which includes high-quality copper mines in Peru and Chile​.

This consolidation trend isn’t limited to BHP and Anglo American. In 2024 alone, there were 358 mining M&A deals globally, with a combined value of $10.4 billion, as companies sought to streamline operations and scale up through acquisitions. A significant driver of these transactions is the industry’s need to secure access to copper and other critical metals, which are essential for the energy transition. Notably, the sector has seen an increased interest in acquiring junior mining companies with promising copper assets, which allows larger firms to enhance their production capabilities quickly​(

Solaris Resources (TSX: SLS) (NYSE: SLSR) has attracted significant interest as a potential takeover target due to its promising Warintza Project in Ecuador. The company recently reported impressive high-grade drilling results, including intercepts of 87 meters at 1.23% copper equivalent (CuEq) and 93 meters at 1.01% CuEq. These results not only enhance the project’s recently published 2.3 Bt mineral resource but also partially extend mineralization outside of the mineral resource and improve grades in areas. As Solaris continues to expand its mineral resources and optimize the site’s infrastructure, it becomes increasingly attractive to larger mining firms looking to secure high-quality copper assets in stable jurisdictions. This strategic potential, coupled with the company’s ambitious drilling program set to exceed 60,000 meters this year, makes Solaris a prime candidate for acquisition as industry giants seek to strengthen their copper portfolios.

Mergers and Acquisitions in the Copper Sector

The consolidation within the copper sector reflects a broader strategy of hedging against future shortages. Analysts anticipate that global copper demand will continue to rise as renewable energy adoption accelerates. To maintain steady supply chains, major miners are turning to acquisitions as a strategy to bypass the lengthy process of exploring and developing new mines. M&A also enables companies to optimize costs and leverage synergies, which is crucial given the high capital expenditure involved in mining projects. For example, BHP’s recent acquisition of OZ Minerals, which specializes in copper production, underscores the company’s commitment to expanding its copper footprint.

However, the race to acquire copper assets has raised concerns about market concentration. A merger between large entities like BHP and Anglo American would give the combined company significant control over copper production, particularly in regions like South America. This market concentration could lead to regulatory challenges as governments and local communities weigh the implications of reduced competition and the potential environmental impact of increased mining activity. Additionally, critics argue that these large-scale acquisitions might stifle investment in new mining projects, which could exacerbate future supply constraints​.

M&A activity in the copper mining sector will likely remain high as companies seek to secure their positions amid a global copper shortage. This trend is likely to reshape the industry, with major players consolidating to gain pricing power and operational efficiency. However, these acquisitions are not without their challenges, from valuation disputes to potential regulatory roadblocks, underscoring the complex dynamics of addressing the global copper supply gap.

Potash is used primarily in fertilizers, where it promotes plant growth by regulating water absorption, increasing disease resistance, and strengthening root development. These factors make potash a key element in supporting major crops like wheat, corn, and soybeans. As demand for agricultural products rises, particularly in regions like Asia-Pacific, the potash market is experiencing substantial growth. Countries such as China and India, with their vast agricultural sectors, heavily rely on potash to boost food production​.

Newer trends in agriculture, such as precision farming, are also influencing potash use. Precision agriculture uses data and technology to optimize fertilizer application, minimizing waste while maximizing crop yield. This modern approach has bolstered demand for potash, particularly as farmers strive to meet the global challenge of feeding a growing population​.

In South America, countries like Brazil have begun to emphasize domestic production of potash, aiming to reduce reliance on imports. Brazil’s Autazes Potash Project, led by Brazil Potash, is a prime example of how new mining initiatives aim to meet local demand while decreasing dependency on international sources. Brazil, a significant agricultural producer, has long imported the majority of its potash, but projects like the Autazes Potash Project will shift this dynamic.

In addition to its agricultural applications, potash has critical industrial uses that contribute to its growing global demand. While the majority of potash consumption is driven by fertilizers—accounting for nearly 93% of the market—there are several other industries where potash plays a vital role. For instance, in the manufacturing of glass and ceramics, potash acts as a flux to lower the melting temperature of materials, aiding in the production process​. It is also used in soap production, where potassium salts (derived from potash) are essential ingredients in certain types of soft soaps and detergents.

Beyond manufacturing, potash is used in metallurgy, particularly in aluminum production. Here, potassium compounds are utilized in the electrolysis process to refine the metal. The demand for potash in the chemical industry is also notable, where it’s used in producing potassium hydroxide, a chemical necessary for numerous industrial processes including biodiesel production, water treatment, and the production of various pharmaceuticals​. These non-agricultural applications, although smaller in scale compared to fertilizer use, continue to support steady demand for potash across multiple sectors.

Additionally, animal feed supplements represent a niche but growing segment for potash consumption. Potassium is a critical nutrient for livestock health, helping regulate metabolism and ensuring efficient nutrient absorption in animals. With the increasing global demand for meat and dairy products, the use of potash in feed supplements is expected to rise, particularly as farmers seek to improve livestock productivity and health​.

These varied applications highlight the versatility of potash, ensuring its continued relevance in both agricultural and industrial spheres. As technological advancements in mining and processing further enhance potash production efficiency, its significance in these diverse sectors will only increase.

China’s Economic Recovery and Its Impact

China, the world’s largest consumer of copper, has shown signs of economic recovery, particularly in its manufacturing sector. Recent data indicates a potential expansion in manufacturing, with the Purchasing Managers’ Index (PMI) suggesting positive momentum. This recovery has sparked optimism in the copper market, as increased manufacturing activity typically translates to higher copper demand.

The Chinese government has also implemented substantial economic stimulus packages aimed at bolstering infrastructure development. These measures, including a recent 1 trillion yuan stimulus, are expected to significantly increase demand for industrial metals, including copper. The resulting boost in domestic consumption and infrastructure projects has contributed to the surge in copper prices.

Global Supply Dynamics

Limited Mine Supply

Concerns regarding limited copper supply from mines worldwide have played a crucial role in driving prices higher. Many copper mines face production challenges due to various factors, including declining ore grades, regulatory pressures, and operational difficulties. This scarcity enhances the attractiveness of copper as an investment and puts upward pressure on prices.

Solaris Resources: A Near Term Copper Project Set to Increase Supply

Solaris Resources is making progress in sustainable mining practices. The company’s recent submission of an Environmental Impact Assessment (EIA) of its Warintza Project in Ecuador was a major milestone and one step closer to the onset of construction.

The EIA, a comprehensive document spanning over 3,000 pages, reflects Solaris’ dedication to adhering to strict environmental standards and engaging with local communities. The project has already garnered significant investment and created hundreds of jobs in the region, demonstrating the company’s commitment to economic development.

Solaris recently issued an updated mineral resource estimate for the Warinzta project with total resources at 2.3 bt grading 0.43% CuEq. Of particular note, was the attractive high-grade M&I core of 427mt grading 0.71% CuEq, which is near-surface material that would be amenable to a ‘starter pit’ and significantly drive the economics associated with the project. A 60,000m infill and extensional drill program is currently underway to upgrade the resource and define reserves with another resource update expected in mid-2025 to support the Pre-Feasibility Study in H2/2025.

Chinese Export Trends

Interestingly, China has experienced a notable increase in copper exports in recent months. In May 2024, Chinese exports of refined copper reached their highest levels in eight years, with a 200% increase compared to the previous year. This surge in exports has led to increased global supply, which could potentially moderate price increases in the short term.

Technological Demand and Green Energy Transition

The global shift towards electric vehicles (EVs) has significantly boosted copper demand. EVs require substantially more copper than traditional internal combustion engine vehicles, both in the vehicles themselves and in charging infrastructure. As EV adoption accelerates worldwide, it is expected to provide sustained support for copper prices.

The transition to renewable energy sources, such as wind and solar power, also drives copper demand. These technologies require significant amounts of copper for power generation, transmission, and distribution infrastructure. As countries worldwide push for greener energy solutions, the demand for copper in this sector is projected to grow substantially.

Market Reactions and Price Volatility

The copper market has seen increased interest from investors, both in physical copper and copper futures. This heightened investor activity has contributed to price volatility, as speculative positions can amplify price movements in both directions.

The value of the US dollar is important in copper pricing, as the metal is primarily traded in dollars. A weaker dollar typically makes copper more affordable for buyers using other currencies, potentially increasing demand and driving prices higher.

Future Predictions and Market Outlook

Analysts remain cautiously optimistic about copper prices in the short term. While the economic recovery in China and global green energy initiatives provide support for prices, concerns about global economic growth and potential oversupply could introduce downward pressure.

The long-term outlook for copper appears strong, driven by several factors:

1. Continued urbanization and industrialization in developing economies
2. Increasing adoption of electric vehicles and renewable energy technologies
3. Limited new copper discoveries and the long lead times for developing new mines

These factors suggest that copper demand is likely to outpace supply growth in the coming years, potentially leading to sustained higher prices.

Challenges and Uncertainties, But More is Needed No Matter What Happens

While China’s recovery is a positive sign, uncertainties remain about the global economic outlook. Factors such as inflation, interest rates, and geopolitical tensions could impact industrial activity and, consequently, copper demand.

The ongoing issues in China’s property sector, particularly concerning major developers like Evergrande, continue to cast a shadow over future copper demand. The real estate market has traditionally been a significant driver of copper consumption in China, and its struggles could potentially offset gains from other sectors.

The surge in copper prices is driven by a range of macro factors, including China’s economic recovery, global supply constraints, and increasing demand from green technologies. While short-term volatility is likely to persist, the long-term outlook for copper remains positive, supported by fundamental demand drivers and supply challenges.

As the world continues its transition towards a greener, more electrified future, copper will be increasingly important. Mining companies will be looking to projects like the Warintza Project for future discoveries as the industry requires production increases to keep pace.

Solaris Resources and the Warintza Project: A Bright Spot in Copper Exploration

The Warintza Project, owned by Solaris Resources, is located in southeastern Ecuador. This copper porphyry deposit could be a major opportunity to bolster global copper supplies. The company recently issued a mineral resource estimate for its Warintza Project with 2.34 bln tonnes grading 0.43% CuEq (M&I,I) including 427Mt at 0.71% CuEq (M&I) and 177Mt at 0.62% CuEq (Inferred) at a higher cut-off grade of 0.50% CuEq, reflecting the near surface higher-grade mineralization which could be leveraged into a starter pit to further improve the project economics.

The updated MRE supports the view that the project is one of the largest undeveloped copper projects globally while setting a strong foundation for further resource updates. The company has an ongoing drill program with over 30,000m planned in H2/24 targeting open extensions of mineralization and also upgrading its mineral resources in support of an ongoing Pre-Feasibility Study (PFS) that it plans to complete in H2/25.

Large-scale copper porphyry deposits, like Warintza, not already owned by major mining companies hold strategic value due to scarcity, size, and economies of scale, polymetallic characteristics, and amenability to large-scale conventional open-pit mining.

Solaris is also actively exploring the broader Warintza district with many near-mine targets. Concurrent district exploration programs are targeting complementary discoveries from an expanded portfolio of epithermal gold/silver and porphyry copper targets.

The Copper Supply-Demand Imbalance

Copper demand is projected to rise by 23% by 2030, driven primarily by the global energy transition and continued economic growth in emerging markets. Meeting net-zero carbon emission targets by 2035 could potentially double annual copper demand to 50 million metric tons. This surge is fueled by the electric vehicle revolution, renewable energy infrastructure expansion, the AI-driven boom in data centers, and ongoing urbanization and industrialization in emerging markets.

The copper mining industry faces numerous hurdles in expanding production. Declining discovery rates of new deposits, lengthy permitting processes, rising capital costs, and geopolitical risks in copper-rich regions all contribute to the supply crunch. Traditional copper powerhouses like Chile and Peru are grappling with various issues, including aging mines, rising costs, and social unrest.

Bank of America forecasts a copper market deficit of 324,000 tonnes in 2024, growing to 743,000 tonnes by 2026. Goldman Sachs estimates that addressing the expected annual supply shortfall of 8 million tons over the next decade would require the copper industry to invest $150 billion. Regulatory approvals for new copper mines have fallen to their lowest level in 15 years.

Technological Innovations in Copper Mining

To address these challenges, the mining industry is turning to innovative technologies. Advanced leaching techniques are being explored to extract copper from low-grade sulfide deposits. Mines are integrating automation, robotics, and electrification to enhance efficiency and sustainability. Other innovations include bio-surfactants to increase copper yields, coarse particle recovery technologies, vertical roller mills to reduce energy consumption, and “copper sponge” technology to streamline extraction processes.

Copper recycling can also help, with approximately 32% of annual copper use coming from recycled sources. An estimated two-thirds of the 690 million tonnes of copper produced in the last century are still in productive use, forming an “urban mine” of potential recyclable material. E-waste recycling presents a particularly promising opportunity, as waste printed circuit boards can contain up to ten times more copper than rich-content minerals.

There are both opportunities and risks for investors in this industry. Copper mining equities provide exposure to the green energy transition, with companies holding existing mines, expansion projects, or promising exploration prospects well-positioned to benefit from rising copper prices.

Addressing the copper supply crunch will require a multi-faceted and dedicated approach, with aggressive development of new deposits, technological innovation, expansion of recycling capabilities, supportive policies, and strategic investments to mitigate geopolitical risks. Projects like Solaris Resources‘ Warintza Project define the type of high-potential copper resources needed for addressing the supply deficit and are ideally suited as an M&A target offering exposure to high-grade, district-scale porphyry potential with access to infrastructure.

Solaris Resources and the Race Against the Copper Crunch

In the middle of all these challenges, Solaris Resources and its flagship Warintza project in Ecuador is regarded as one of the best greenfield copper development opportunities. The project has a large 1.5 billion tonne open pit resource, primarily from the Central deposit, one of six discoveries made on the project to date. This is one of the last major greenfield districts at low elevation and adjacent to infrastructure supplying renewable hydroelectric grid power in the global copper industry. Something that majors will be picking from to acquire copper projects for their pipelines and bring in exposure to future facing metals critical to the global energy transition and decarbonization initiatives.

The company has completed over two years of additional resource growth drilling and will be updating its mineral resource in July, which is set to increase to 2 – 3 billion tonnes. Junior mining companies like Solaris are important to eventually increasing the dwindling copper supply. By identifying and developing high-potential projects, they create value for shareholders while providing a pipeline of assets that can be acquired by major mining companies to bolster their production numbers and meet global demand.

The Roots of the Supply Shortfall

Several factors are contributing to the anticipated supply shortage in 2024. One is the downward revision of production targets by major copper producers, such as Anglo American, due to production shortfalls at key mines like Los Bronces. This reduction in output is projected to persist into 2025, exacerbating the supply deficit.

As Juan Benavides, Chairman of Codelco, Chile’s state-owned copper miner, recently stated, “the drop in production is due to the natural and expected decline in ore grades at our structural projects.” This sentiment is echoed by Cochilco, Chile’s National Copper Commission, which has issued a sobering 10-year forecast for the country’s copper production, projecting an average annual growth of just 1.7% from 2023-2032, a significant downgrade from prior estimates. The report notes, “Compared with last year’s 10-year forecast, due to the delay of projects under construction, Chilean copper production will grow at a slower rate this decade.”

On top of this, more sluggish demand for copper in Western nations, coupled with the growth of Chinese production, has created a market imbalance that is expected to exacerbate the supply shortfall in the coming year. Goldman Sachs, in a recent note, highlighted this potential for a “stockout episode” in the copper market due to the supply shortfall, forecasting a 25% upside move in the copper price this year, with a 12-month target of $11,000 per tonne.

The current copper supply shortfall is significant, with forecasts indicating a shortage of 0.7 million metric tons (MT) in 2024. This deficit is anticipated to persist throughout the decade, fueled by ongoing challenges in the copper mining sector, including declining ore grades and diminishing reserves.

Another factor is the insufficient pipeline of new copper projects. The lengthy lead times required for new capacity to come online, coupled with the slow permitting process for new mining projects, further compound the issue. This lag in supply response will make it difficult to keep pace with the escalating demand, particularly from the electric vehicle (EV) and renewable energy sectors.

Potential Long-Term Effects on the Global Economy

The potential long-term effects of a sustained copper supply shortage are far-reaching. A persistent deficit of this critical metal could have implications for multiple sectors and industries that depend heavily on it.

A supply shortfall would inevitably drive copper prices higher, a concern echoed by Goldman Sachs’ forecast of a significant price increase. This could trigger a domino effect across the global economy, as industries that rely on copper, such as construction, manufacturing, and renewable energy, would face increased costs, potentially leading to higher prices for consumers.

Of course, the energy transition and the growth of electric vehicles (EVs) are inextricably linked to copper. A supply shortage could impede the adoption of these technologies, potentially derailing the transition to a low-carbon economy. This concern is shared by DNV, a global authority on the energy transition, which emphasizes the critical role of copper in this process and recently warned that copper shortages could jeopardize the pace of the energy transition.

A copper supply shortage could also cast a shadow over global economic growth, particularly in regions heavily reliant on copper for their industries. This could result in reduced economic activity, decreased consumer spending, and potentially even trigger a recession. The rising cost of copper could exacerbate inflationary pressures, especially in countries heavily dependent on copper imports.

S&P Global has predicted copper supply shortfalls starting in 2025 and lasting through most of the following decade. However, they also anticipate a significant surplus in 2045, driven by increased recycling from energy transition end markets.

No matter how it is viewed, the shortage is a complex issue with far-reaching consequences for the global economy. While new discoveries like those at Solaris Resources’ Warintza project offer hope and a model for the path forward for bigger producers, the multifaceted challenges facing the copper mining sector, paired with the escalating demand driven by the energy transition, will likely create the most difficult period for the industry in recent memory.

Nokia today announced that it has been chosen by Sigma Lithium, a leading global lithium producer, to deploy the first private LTE wireless campus network in the Americas that supports the mining of lithium – a metal critical to the production of batteries that power electric vehicles. Nokia will work with partner Alcon to roll out the private wireless network, which will support 200 Sigma employees and add multiple innovative mining applications that boost productivity and operational efficiency.

As the world converts to more energy-efficient vehicles to combat climate change, demand for lithium is skyrocketing. Exploration globally is expected to increase more than 10 times by 2035. Already a leader in advanced sustainable mining practices, Sigma produced record amounts of Triple Zero Green Lithium at its Brazil plant in 2023 and its Quintuple Zero Green Lithium was recognized at COP28 as the most sustainable lithium in the world.

With the addition of a Nokia private LTE network based on Nokia Digital Automation Cloud (Nokia DAC), the company is ratcheting up its goal to produce next-generation EV batteries in a carbon neutral, socially and environmentally sustainable manner – deploying robust dedicated bandwidth and throughput across its sites. Connecting workers with certified ruggedized devices, industrial edge computing and a catalog of ecosystem-neutral applications contribute to the creation of a safer working environment and enhance productivity and operational efficiency with crucial mining apps such as dispatch, push-to-talk and push-to-video, and smart badge systems.

Marcelo Marinho, Chief Operating Officer at Sigma Lithium, said: “At Sigma, we are dedicated to powering the next generation of EVs in the most sustainable manner. We are very excited to work with Nokia and Alcon to enhance worker safety and efficiency while continuing to expand our exploration of a metal critical to the world’s energy transition.”

Victorio Accon, Commercial Manager at Alcon, said: “We are very pleased to partner with Nokia on this exciting project to bring mission-critical networking to Sigma Lithium. Our expertise in deploying these vital solutions in challenging environments will ensure an optimized roll-out for Sigma Lithium.”

David de Lancelloti, Vice President Enterprise Campus Edge Business at Nokia, said: “This exciting collaboration with Alcon will bring robust connectivity to world-class lithium mining leader Sigma Lithium and accelerate digitalization. Dedicated, mission-critical connectivity connecting industrial devices and applications is at the heart of revolutionizing the way the mining sector operates – keeping employees safe and enabling high-performance operations that deliver results.”

Nokia one platform for industrial digitalization, private wireless networks, applications, and devices provide more pervasive broadband connectivity, with lower latency and greater predictability and security than alternative solutions, Nokia solutions are being selected by multiple industries as the backbone of digital transformation projects.

Nokia has deployed mission-critical networks to more than 2,600 leading enterprise customers in multiple industries. It has also extended its footprint to more than 730 private wireless customers worldwide across an array of industrial sectors.