SMM Morning Meeting Summary: Overnight, LME copper opened at $12,724.5/mt. In early trading, it fluctuated upward to a high of $12,829.5/mt, after which the center of copper prices shifted straight downward to a low of $12,721/mt. It then fluctuated upward in a pullback and finally closed at $12,780/mt, down 1.07%. Trading volume reached 17,000 lots, and open interest stood at 293,000 lots, down 8,255 lots from the previous trading day, mainly due to longs reducing positions. Overnight, the most-traded SHFE copper 2604 contract opened at 99,120 yuan/mt. In early trading, it rose to 99,530 yuan/mt, then fluctuated downward all the way to a low of 98,900 yuan/mt. Afterwards, the center of copper prices moved upward and finally closed at 99,140 yuan/mt, down 0.92%. Trading volume reached 27,700 lots, and open interest stood at 177,000 lots, down 1,993 lots from the previous trading day, mainly due to longs reducing positions.

On June 11 (Wednesday), the Chilean Copper Commission (Cochilco) stated that in April, Codelco's copper production increased 20.5% YoY to 114,600 mt.

Alejandro Tapi, the head of Escondida, the world's largest copper mine, stated at a Chilean investment conference held in New York on Thursday that Chile needs to make greater changes in regulation and law to boost investment. Chile is the world's largest copper producer, accounting for nearly a quarter of global copper supply in 2024. Miners complain about the country's lengthy and delayed regulatory procedures. With declining ore grades in the country and increasing global demand, substantial investment is needed to boost production and help offset global shortages. "A significant increase in copper demand could attract substantial new investment to Chile, provided we can ensure legal certainty, fiscal stability, and a modern, faster permitting system." "I want to outline the core message: by 2050, global copper demand will increase by 70% from current levels. If we want to seize this enormous opportunity, growth, permitting, and environmental legislation should be an urgent priority." He added, "This is a regulatory issue, and I believe we can improve it to unlock investment." Escondida, the world's largest copper mine, has announced that BHP will invest US$10 billion in the country if environmental permits are approved. BHP stated that it will commence a 10-year investment plan to optimize its concentrator with US$2 billion. According to data from Chile's National Copper Commission, Chile's copper production increased by 4.9% to 5.5 million mt in 2024. Escondida produced 1.28 million mt in 2024. BHP stated that global copper demand was 31 million mt in 2023 and is expected to increase by 1 million mt annually until 2035. The Chilean Congress is passing a bill that will expedite several permitting procedures.

According to SMM, Alejandro Tapi, the head of Escondida, the world's largest copper mine, stated at a Chilean investment conference held in New York on Thursday that Chile needs to make greater changes in regulation and law to promote investment. Chile is the world's largest copper producer, accounting for nearly a quarter of global copper supply in 2024. Miners have complained about the country's lengthy and delayed regulatory procedures. With declining ore grades in the country and increasing global demand, substantial investment is needed to boost production and help offset the global shortage.

》Check SMM metal quotes, data, and market analysis 》Subscribe to view historical price trends of SMM metal spot cargo On May 16, the SMM Imported Copper Concentrate Index (weekly) was reported at -$43.05/dmt, up slightly by $0.06/dmt from the previous -$43.11/dmt. The pricing coefficient for 20% grade domestic trade ore was 93%-95%. Recently, there have been frequent spot cargo tender and bid activities for copper concentrates: Last weekend, a trader sold 10,000 mt of clean ore to a smelter at a mid-to-low price of -$40/dmt, with a loading period in June and a QP of M+1/5; a trader sold less than 20,000 mt of a mixed cargo of dry bulk and containers to a smelter at a mid-to-high price of -$30/dmt, with a loading period in June and a QP of M+1/5; a trader sold 20,000-30,000 mt of bundled ore to a smelter at a low price of -$40/dmt, with a QP of M+1/5; a tender for 10,000 mt of Bisha copper mine was held, with a loading period in late June, and the tender closed early this week; BHP began a tender for 10,000 mt of Escondida, with a closing date of May 20; Ilo smelter, a subsidiary of SPCC, was affected by maintenance activities in June-July, and tenders were held for multiple batches of Cuajone and Toquepala copper concentrates, with 10,000 mt tendered each in June, July, and August, and a closing date of May 21; Anglo American announced tender results, with 20,000 mt of clean ore priced at -$80/dmt for loading in H2 2025 and 20,000 mt priced at -$40/dmt for loading in Q1 2026. Codelco stated that it would work with Rio Tinto to jointly develop the Nuevo Cobre copper mine project in the Atacama region of northern Chile, adjacent to the San Antonio mine area. Codelco holds a 43% stake in the Nuevo Cobre project, while Rio Tinto holds a 58% stake. Ivanhoe Mine announced that its latest exploration results at the Makoko mine area in the DRC showed that the copper resource base had nearly doubled compared to a year and a half ago. The current copper reserves in the area totaled 9.37 million mt, an 89% increase from the estimated 5 million mt announced in November 2023. Antofagasta Mining Company stated that its Zaldivar copper mine in Chile had received environmental approval from local authorities to continue operating with existing water sources until 2028. On May 16, the SMM copper concentrate inventory at nine ports was 819,700 mt, a decrease of 80,600 mt from the previous period, with the main reduction coming from Qingdao Port. This week, the copper concentrate inventory at Qingdao Port decreased by 40,000 mt WoW. 》Check the SMM metal industry chain database

["[Codelco's Copper Production Climbs 14.8% in March, Escondida's Copper Production Up 18.9% YoY] On May 8 (Thursday), data released by Chile's National Copper Commission (Cochilco) showed that state-owned miner Codelco's copper production in March increased by 14.8% YoY to 123,200 mt. Cochilco announced that BHP's Escondida mine saw its copper production in March rise by 18.9% YoY to 120,600 mt. (Webstock Inc.)"]

【Codelco's Copper Production Climbs 14.8% in March, Escondida's Copper Production Up 18.9% YoY】On May 8 (Thursday), data released by Chile's National Copper Commission (Cochilco) showed that state-owned miner Codelco's copper production in March increased by 14.8% year-on-year to 123,200 mt. Cochilco announced that BHP's Escondida mine saw its copper production rise 18.9% YoY to 120,600 mt in March. (Webstock Inc.)

【Codelco's Copper Production Climbs 14.8% in March, Escondida's Copper Production Up 18.9% YoY】On May 8 (Thursday), data released by Chile's National Copper Commission (Cochilco) showed that state-owned miner Codelco's copper production in March increased by 14.8% year-on-year to 123,200 mt. Cochilco announced that BHP's Escondida mine saw its copper production rise 18.9% YoY to 120,600 mt in March. (Webstock Inc.)

On Monday, April 21, renowned investment bank Macquarie announced an upward revision of the copper production target for global mining giant BHP Group, citing strong performance at the Escondida mine in Chile. Macquarie projected that BHP's copper production would increase by 3%, 11%, and 5% during the fiscal years 2029, 2030, and 2031, respectively. The bank noted that BHP navigated the rainy season, marked by tropical cyclones Zelia and Sean, more effectively than its competitors in Q1. BHP reported a 10% increase in copper production to 513,200 mt in the first quarter.

View SMM Metal Quotes, Data, and Market Analysis Order and View SMM Metal Spot Historical Price Trends On April 18, the SMM Imported Copper Concentrate Index (weekly) reported -$34.71/dmt, a decrease of $3.82/dmt from the previous period's -$30.89/dmt. The pricing coefficient for domestic trade ore with a 20% grade was 93%-95%. During the week, the spot market for copper concentrates was very quiet, with many traders having already sold their May shipment positions and now waiting for June shipment arrangements. BHP's Escondida tendered 10,000 mt to smelters, with the tender closing next Tuesday. Zijin Mining's Kamoa-Kakula tendered 30,000 mt to smelters, with the tender closing next Monday and shipment scheduled for Q3. A 10,000 mt tender for Mantoverde, with shipment in June and M+4, will close on April 25. According to SMM, affected by the US-China trade war, some traders plan to resell copper concentrates originating from the US with a shipment date after April 10 to a Japanese smelter. Following this news, other traders plan to include copper concentrates originally imported to China into long-term contracts with Japanese smelters. Japanese smelters, constrained by smelter storage capacity, capital occupation costs, and inventory management, may not fully accept the redirected copper concentrates. The redirected copper concentrates involve mines such as Morenci, Robinson, Pinto Valley, and Mission. According to further information from SMM, last week a worker died at KGHM's Sierra Gorda copper mine in Chile. Although the unfortunate accident was production-related, it does not affect Sierra Gorda's production plan. Sierra Gorda has four Larox filter lines, and one was already planned for maintenance shutdown before the accident, with the other three continuing to operate. Coincidentally, during the maintenance of one Larox filter line, a worker tragically died. Sierra Gorda's copper production remains within the annual plan. As of April 18, SMM's nine-port copper concentrate inventory was 706,900 mt, a decrease of 19,300 mt from the previous period, with the main reduction coming from Jinzhou Port, where copper concentrate inventory decreased by 32,000 mt WoW. View SMM Metal Industry Chain Database