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Bloomberg reported that a significant shortage of zinc is around the corner as zinc mines that have produced the metal for decades are now tapped out, with Morgan Stanley estimating that by 2017 more than 1.2 million metric tons of annual mined supply of zinc will be taken out of production.
Bloomberg reported that a significant shortage of zinc is around the corner as zinc mines that have produced the metal for decades are now tapped out, with Morgan Stanley estimating that by 2017 more than 1.2 million metric tons of annual mined supply of zinc will be taken out of production.
As quoted in the market news,
For the miner, China’s MMG Ltd, that hurts because replacing the tapped-out mine — which is responsible for 4 percent of the world’s zinc output — with a fresh source of the metal has proven elusive.
Tighter supplies are prompting banks including BNP Paribas SA and Goldman Sachs Group Inc. to forecast higher prices for the metal that’s used in steel auto parts, brass plumbing fixtures and sunscreen. Demand exceeded output by the most in nine years in 2014 and the deficit will almost double next year, according to data from the International Lead & Zinc Study Group and Bloomberg Intelligence.