Penoles Says Zinc Demand to Rise 3% in 2011

Bloomberg reports that Mexico’s second-largest mining company Penoles sees worldwide zinc demand up 3% with no change in fees from smelters.

The market news is quoted as saying:

Last year, Penoles’s plants processed about 70 percent of Mexico’s production of zinc, which is used to galvanize steel. Macquarie Group Ltd. said Dec. 20. it expected zinc processing fees, which are paid by miners to smelters to process concentrates into metal, to fall as much as 20 percent in 2011.

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