Minmetals Futures: Copper mine supply remains tight

Overall, the current global copper mine supply remains relatively tight, and the projected growth in global copper mine supply by 2026 is relatively weak. The constraints are not only due to mine disruption events but also result from multiple structural factors such as declining resource grades, aging mines, and insufficient capital expenditures. The nominal capital expenditure of sample mining companies has increased, with additional funds primarily used to maintain existing capacity and extend mine life rather than to create large-scale new supply. Meanwhile, the number of greenfield projects is limited, and construction cycles are long, making it difficult to offset the reduction risks of existing mines in the short term. Therefore, we believe that in an environment where financial market liquidity is relatively ample, disruptions at the mine level are more likely to be amplified, and copper prices still have solid support. (Minmetals Futures)