Copper is a semi-precious, ductile metal that has the highest electrical conductivity among all commercial metals. This means that copper is a significant factor in distributing electricity all over the world. Pure copper is used as a conductor of heat and electricity. It’s also a staple building material and an important element of several metal alloys.
Copper is the third most widely used metal in the world, and the supply and demand of this metal almost always dictates how the global commodity market shifts. Annual global consumption of refined copper goes over 21 million tons and is divided into 5 major consumption groups: equipment, construction, infrastructure, transport, and industrial.
The equipment sector utilizes a large bulk of copper’s supply, accounting for as much as 31 percent. Copper’s durability can be cast into precision shapes, making the metal ideal for manufacturing bearings and gears. Since copper is highly resistant to corrosion, it is also one of the main materials used in making vessels, tanks, and pipes that are often exposed to seawater.
Construction comes next at 30 percent, with most of its materials coming from the equipment sector. Copper is widely used in infrastructure, making the segment the third largest consumer of the metal. Transportation consumes 12 percent of the copper supply in the world, since the metal is an essential element in today’s modern car designs. Copper plays a huge role in the demand of lightweight, eco-friendly vehicles. Copper rotors improve the performance of electric and hybrid-electric vehicles in the speed and energy aspect. Tesla motors use copper rotors in their hybrid vehicles for more efficiency and more power per pound.
Infrastructure applications come in at fourth with 12 percent, similar with the amount taken by the industrial sector that rounds up the five main sectors. Copper conducts heat twice as better as aluminum, making it a valuable component of power cables, transformers, motors, and renewable energy systems.
The consumers and applications of copper mentioned above are some of the most vital enterprises that build the modern world. This means that the demand for copper will remain soaring despite the volatility of its price. Huge mining companies such as Rio Tinto and BHP Billiton produce copper, though its revenues mostly come from iron ore, the most commonly mined metal. Several miners of gold such as Barrick Gold Corporation also produce copper. Several mines have established themselves as the world’s biggest copper producers. These are Freeport-McMoRan Copper & Gold, Southern Copper Corporation, and Glencore.
Currently, Chile is the world’s top producer of copper, followed by other mining capitals such as China, Peru, United States, and Australia. Russia is the sixth most abundant country for copper, and it could increase its standing with the help of Amur Minerals Corporation (OTC:AMMCF), a developing mine located in the Amur Oblast Region in the Russian Far East. Once the company secures its mining license from Russian Prime Minister Dmitry Medvedev, the company will pursue its production of 67 million tons of nickel and copper. This will provide a steady supply of this highly demanded metal to sustain the global consumption and its respective applications.
This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.
What 2019 possibly holds for the top tech stocks
2018 was a wild ride for tech stocks. Here’s how they are likely to perform according to predictions from experts.
Here’s how you can improve your hotel service
It's one thing to review comments from your guests, but it's another thing to thoughtfully listen to their suggestions to...
5 major things to look for when buying your first home
Save yourself from the headache of buying a house with these helpful tips such as looking for hidden issues, and...
4 ways mobile technology can boost your business
Mobile technology has changed the way people do business, as well as the consumer habits. Here's how it helps you...
How farmers are handling the rising costs of equipment
American farmers are hit hard by the demands of rising competition, land costs and advancements in equipment. Balancing the need...
Featured3 days ago
CEOs Fishkin and Ramsay: From financial burdens to million-dollar companies
Destinations3 days ago
Millennials with money escape to Mexico’s Bohemian luxury
Business4 days ago
Disney continues quest to buy Fox, Brazilian regulators raise concerns
Sponsored3 days ago
The Alkaline Water Co. begins trading on NASDAQ today
Sponsored2 days ago
Cannabis retailer Choom secures leadership position with Ontario expansion
Business4 days ago
IoT and LaaS mean stronger growth for LED market
Crowdfunding4 days ago
Why female and minority founders should look to crowdfunding
Featured5 days ago
Self-Directed IRA LLC: How to know it’s right for you