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Humphrey Hale, CEO, Managing Geologist, Carnavale Resources Ltd.

Humphrey Hale
CEO, Managing Geologist | Carnavale Resources Ltd.
Level 2, Suite 9 389 Oxford Street, WA 6016 Mount Hawthorn (AUS)

info@carnavaleresources.com

Interview Carnavale Resources: Good cards for long-term success


Bill Guy, Chairman, Theta Gold Mines Limited

Bill Guy
Chairman | Theta Gold Mines Limited
Level 35 (ServCorp), Intl Tower One 100 Barangaroo Ave, 2000 NSW Australia (AUS)

info@thetagoldmines.com

+61 2 8046 7584

Interview Theta Gold Mines: This team has already brought 20 mines into production


David Mason, Managing Director, CEO, NewPeak Metals Ltd.

David Mason
Managing Director, CEO | NewPeak Metals Ltd.
Level 27, 111 Eagle Street, QLD 4000 Brisbane (AU)

info@newpeak.com.au

+61 7 3303 0650

Interview New Peak Metals: Many chances for great success


27. May 2021 | 07:25 CET

Nevada Copper, Salzgitter, NIO: The Greens and the Copper Price

  • Copper
Photo credits: pixabay.com

Since the end of March 2020, the copper price has doubled. The trend is intact and investors are using every minor interim correction to get in. After the pandemic, countries worldwide want to get their economies back on track and fit for the future. Investments in infrastructure have been overdue for years anyway and are the very first measure for many countries. Sustainable solutions, such as charging infrastructure for electromobility, are also on the agenda. The copper price should continue to benefit. Demand from Germany, in particular, is likely to increase - a look at the polls in the election year suggests that it should soon rain billions for electric cars and their charging infrastructure. Some stocks are already benefiting.

time to read: 3 minutes by Nico Popp


Nick Mather, CEO, SolGold PLC
"[...] We knew the world was rapidly electrifying and urbanising and needing significant amounts of copper to do so. [...]" Nick Mather, CEO, SolGold PLC

Full interview

 

Author

Nico Popp

At home in Southern Germany, the passionate stock exchange expert has been accompanying the capital markets for about twenty years. With a soft spot for smaller companies, he is constantly on the lookout for exciting investment stories.

About the author


Nevada Copper: A copper producer with aces up its sleeve

The Canadian Company Nevada Copper has a promising mining project in the US state of Nevada. The underground mine is already partly in production and will be further expanded. This summer, Nevada Copper is set to get going. The Pumpkin Hollow mine is expected to produce 77 million pounds of copper per year. The open pit mine not far from the underground project could even produce 200 million pounds of copper. In addition, there are 4 other properties where Nevada Copper is pushing ahead with exploration.

In particular, the planned open pit mine, which has already been approved, offers Nevada Copper great potential. 5 billion pounds of copper are expected there, with the rock having high grades of up to 0.69% copper equivalent. According to the Company, the open pit mine alone could stand for an annual EBITDA of USD 239 million - and that at a copper price of only USD 3.20. Currently, the industrial metal is trading around USD 4.50 after an interim correction. In the past, Nevada Copper's share price often suffered from the Company's oppressive debt mountain and the large number of shares issued. With production now starting up, this market skepticism should gradually dissipate.

Due to the exploration potential and the already approved open pit mine, which is sustainably designed and meets ESG standards, Nevada Copper offers everything it needs for a positive share price development. The share price has fought its way free in 2021 and is currently consolidating. Those who believe in copper can take a closer look at the value.

Salzgitter: Tradition with potential

When it comes to industrial metals, German investors, in particular, are quick to think of Salzgitter. The Company from the city of the same name also posted a negative result in 2020. Above all, the pandemic affected Salzgitter. Thanks to rising orders in the summer, however, the steel group got off lightly. Salzgitter sees itself as a steel technology group and stands for flat steel, beams, plate and tubes. Particularly because of the economic recovery, the further course of business is likely to be positive.

Despite this, the share price did not develop to the shareholders' liking in the past three months, with the share falling by 1.6%. On a one-year horizon, however, the price gain of 123% is significant. In the long-term chart, the share could encounter resistance beyond the EUR 30 mark. After that, however, additional price potential could arise. Salzgitter is a solid share with comeback potential. However, the Company's trees do not grow to the sky.

NIO: Innovator with sand in the gears

The Chinese electric car manufacturer NIO is another potential demand driver for copper. Each electric car contains around three times more copper than conventional combustion engines. In addition, there is copper in the charging infrastructure for electric vehicles. NIO has made a name for itself with stylish models and long running times. The stock was at times as popular as that of Tesla or BYD. Yet, at times, the air was out of the value. Over a period of three months, the share lost 17%. Recently, however, NIO is on the rise again and has gained more than 10% in just five trading days. If the stock gets back on track, there could be potential for speculative investors. However, investors need to keep in mind that NIO has already done very well - in the last 12 months alone, the stock gained a staggering 247%. This development is also due to the China fantasy and the innovative models.

But the competition is catching up! Volkswagen has launched an e-car offensive and Daimler and others are also committed to electromobility. Since German manufacturers are scoring points worldwide with strong brands, it could become more difficult for newcomers such as NIO to grow in the long term. Volkswagen, in particular, is very popular in China. NIO is a stock that gamblers can keep an eye on. Beyond EUR 20, the stock could gain new momentum. Those who want to focus on critical raw materials for electromobility instead of electric cars can take a closer look at Nevada Copper. Raw materials from Western industrialized countries are in demand because more and more e-car buyers are asking questions about the origin of the metals and ESG criteria. Politically, there is also a trend to become less dependent on foreign raw materials.


Author

Nico Popp

At home in Southern Germany, the passionate stock exchange expert has been accompanying the capital markets for about twenty years. With a soft spot for smaller companies, he is constantly on the lookout for exciting investment stories.

About the author



Conflict of interest & risk note

In accordance with §34b WpHG we would like to point out that Apaton Finance GmbH as well as partners, authors or employees of Apaton Finance GmbH may hold long or short positions in the aforementioned companies and that there may therefore be a conflict of interest. Apaton Finance GmbH may have a paid contractual relationship with the company, which is reported on in the context of the Apaton Finance GmbH Internet offer as well as in the social media, on partner sites or in e-mail messages. Further details can be found in our Conflict of Interest & Risk Disclosure.


Related comments:

18. June 2021 | 12:33 CET | by Armin Schulz

Kodiak Copper, Deutsche Telekom, Varta - What is going on in commodities?

  • Copper

The hype around wood lasted until May 25, after which the rally ended and the price consolidated by a whopping 40%. Gold was trading above USD 1,900 last week. In parallel to this article's writing, the price is below USD 1,800. A minus of about 5.5% within five days, and the industrial metal for electrification and copper, dropped by 8%. Currently, all factors speak for a further increase in commodity prices. Real interest rates are still negative, and inflation should also remain high. The Fed could not help calm the markets, although interest rate hikes were not announced until 2023. However, the Fed intends to continue its bond purchases. Consolidation can always occur after strong increases, and so we will see long-term rising commodity prices, especially for precious metals and copper.

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09. June 2021 | 10:55 CET | by André Will-Laudien

NIO, JinkoSolar, Siemens Energy, Nevada Copper - This is the copper sensation!

  • Copper

The copper shortage continues as demand is continuously increasing. The current slightly weakening copper price should not hide the general state of the market. Resources are scarce, procurement markets are depleted, and demand remains at a high level. Current trends in the economy are further exacerbating this situation. Modern electric vehicles use about three to four times as much copper as a conventional internal combustion vehicle. It should not be forgotten that the construction of the charging infrastructure also requires significant amounts of copper. New mines are not currently in sight, but there is news from Nevada.

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09. June 2021 | 10:41 CET | by André Will-Laudien

BYD, Nordex, Kodiak Copper: The green revolution!

  • Copper

They have not yet been seen in the state elections of Saxony-Anhalt! However, the political green wave in Germany is starting to warm up for the federal election. Consumers expect greater awareness of the Paris Climate Agreement with corresponding measures in our country, especially in Europe. Already today, this is getting investors to focus correctly on the issues of the future. In plain language, this means continued tax incentives of the highest magnitude for so-called "environmentally friendly technologies" that include solar plants and wind power, including, above all, battery-powered mobility and hybrid vehicles. We shed light on some of the favorite stocks.

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