Mineweb reported that HSBC analysts James Steel and Howard Wen have suggested that a dearth of “professional skilled and technical labor” could hinder mining companies’ ability to meet demand. Specifically, they predict that this skills shortage will have “a commensurate impact on bullion output and prices.”
As quoted in the market news:
“While the National Council on College Admissions indicates interest in mining-related careers has increased this decade, we believe it will be years before there is sufficient professional expertise to meet demand,” they advised. “One by-product of this is the increasing recruitment of retired skilled personnel, notably mining engineers and geophysicists, but insufficient numbers of active retirees have been attracted back into the industry to fully plug the skills gap.”
Meanwhile, “physical constraints and cost issues are likely to continue to inhibit production growth, we believe despite historically high prices,” the analysts forecast.
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