SMM December 26:
On a weekly basis, the average SMM Zn50 domestic zinc concentrate TC dropped by 100 yuan/mt in metal content WoW to 1,500 yuan/mt in metal content, while the SMM imported zinc concentrate index fell by $2.74/dmt WoW to $47.39/dmt.
Domestic ore market. At month-end, domestic smelters and mines began negotiating zinc concentrate TCs for January, but TCs in many regions had not yet been finalized. According to SMM, sentiment in the domestic zinc concentrate market recently warmed up. On one hand, persistently low TCs led to continued production cuts at domestic smelters, weakening demand for zinc concentrate. On the other hand, the import window for zinc concentrate reopened in mid-December, narrowing the price spread between domestic and imported material and reducing smelters' urgency to purchase domestic concentrate. Additionally, it was heard that a mine in Southwest China recently set a tender price for zinc concentrate at around 1,400 yuan/mt in metal content on a self pick-up basis for January.
Imported ore market. Due to the overseas Christmas holiday, some traders were on leave this week, resulting in fewer offers for imported zinc concentrate and overall sluggish trading. It was understood that recent offers included Dugald River zinc concentrate around $40/dmt and Antamina zinc concentrate around $20/dmt.
China Nonferrous Metals Industry's Foreign Engineering and Construction Co., Ltd. held its 14th meeting of the 10th Board of Directors on December 19, 2025, reviewing and approving the "Proposal on Mining Right Investment Involved in the Acquisition of Raura Company Equity by a Wholly-Owned Subsidiary." The board agreed for the company's wholly-owned subsidiary, China Nonferrous Metal Industry's Singapore Co., Ltd., to sign the "Share Purchase Agreement" with Breca Minería S.A.C. The target company's main assets include the Raura zinc polymetallic mine in Peru and a hydropower plant that supplies electricity to the mine. The Raura zinc polymetallic mine is a skarn-type lead-zinc deposit with associated silver and copper. The project is located in Oyón Province, Lima Region, Peru, with the ACUMULACION RAURA mining concession covering 9,271 hectares. It is an operating underground mine with an annual mining and processing capacity of 1 million mt (3,000 mt per day). In 2024, the target company's sales included zinc concentrate (98,900 mt), lead concentrate (16,800 mt), and copper concentrate (2,000 mt).
This week, SMM zinc concentrate inventories at main ports in China totaled 270,000 mt in physical content, down 67,000 mt in physical content WoW, with Huangpu Port and Fangchenggang Port contributing the majority of the decrease.
