Reported 4 months ago
A fierce competition for copper among major commodity traders is leading to favorable negotiation terms for miners, including upfront payments and extended contracts, in the face of a significant supply squeeze in copper ore. Energy traders like Mercuria Energy Group Ltd. are aggressively expanding in the metals market, prompting a rush for contracts. Mining companies, such as Eurasian Resources Group, are capitalizing on the opportunity by seeking upfront payments and securing long-term contracts, as the industry anticipates widening deficits and soaring prices. The article highlights the significant cash influx in metal prepayment deals and the evolving dynamics in the copper market.
Source: YAHOO