Copper Fox CEO: Copper Will Have a Good Future

TL;DR

Copper market outlook is currently dampened due to global factors, but long-term prospects remain bullish. Copper-Fox focuses on developing copper projects in the United States to capitalize on future demand.

Transcript

joining me now is a comer stewart of copper fox I want to call you the silver fox and because not that you're into silver but it's just you exude such enthusiasm I can't help it get you know swept up in the energy that you bring to the mark of the urinal which is copper copper you know the third most used or traded metal in the world what's the cur... Read More

Key Insights

• 🧑‍🏭 The copper market is currently experiencing a downturn due to global factors, such as the coronavirus outbreak and trade tensions between China and the US.
• 🍉 Despite short-term challenges, the long-term prospects for copper are positive, driven by its necessity in the electric economy and lack of substitute metals.
• 🤑 The demand for copper is expected to outpace supply, leading to the closure of existing copper mines and the need to develop new ones.
• 🇺🇸 Copper-Fox's focus on developing copper projects in the United States positions them well to benefit from future copper demand and market changes.
• 😒 Copper's recyclability and expanding uses in various industries, such as healthcare, highlight its versatility and potential for growth.
• 📽️ The Trump administration's emphasis on resource development in the US and sourcing locally provides favorable conditions for Copper-Fox's projects.
• 📽️ The company's strategy involves advancing their projects from early-stage exploration to development to ensure they are ready to capitalize on market changes.

Questions & Answers

Q: What are the current challenges faced by the copper market?

The copper market is experiencing a downturn due to fear surrounding the coronavirus and a slowdown in Asian countries. Additionally, other commodities like gold are also experiencing volatility.

Q: Why is copper essential for the electric economy?

Copper is indispensable in the electric economy as it is a superior metal for transmitting electricity. While other metals like silver may have better transmitting properties, copper's price and availability make it the clear winner.

Q: What are the challenges in maintaining copper production levels?

The industry faces declining head grades, increasing costs, and decreasing discovery rates of new copper mines. By the year 2035, it is estimated that 200 copper mines will be closed, requiring the replacement of around 13 to 14 mines per year.

Q: How is Copper-Fox positioning itself in the market?

Copper-Fox has three wholly owned projects in the United States, along with a stake in an existing joint venture. By developing these projects, Copper-Fox aims to ensure a stable copper supply in the future and capitalize on the upward swing of the market.

Summary & Key Takeaways

• Despite being the third most used and traded metal in the world, the copper market is currently facing challenges, including the fear surrounding the coronavirus and a slowdown in Asian countries.

• In the short-term, the market is expected to remain subdued, but the long-term outlook is positive, with copper being crucial for the electric economy and lacking a substitute metal.

• Copper's recyclability, expanding uses in various industries, and declining production rates highlight the need for new copper mines to maintain production levels.