World demand for electric vehicles and renewable energy is great news for copper miners.
The Reserve Bank of Australia-RBA-is sounding upbeat on copper and lithium production says a new report in the Australian newspaper.
According to the article “a pick-up in global GDP growth in the past two years has boosted demand and prices for commodities such as copper, zinc, nickel.”
“A boom in rechargeable lithium ion batteries and other components in electric vehicles and the improved cost competitiveness of clean-energy generation has also strengthened the outlook for the raw materials made by Australian producers.
“About a quarter of known global reserves of bauxite, lithium, nickel and zinc are found in Australia, as are 12 per cent of global copper reserves.”
“Australian export volumes for these commodities are expected to increase over the next few years as new projects commence production, existing mines are expanded and mines that had been placed in care and maintenance are restarted,” the RBA said in its quarterly review of monetary policy released on Friday.