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Matthew Salthouse, CEO, Kainantu Resources

Matthew Salthouse
CEO | Kainantu Resources
3 Phillip Street #19-01 Royal Group Building, 048693 Singapore (SGP)

info@krl.com.sg

+65 6920 2020

Interview Kainantu Resources: "We hold the key to growth in the Asia-Pacific region".


Justin Reid, President and CEO, Troilus Gold Corp.

Justin Reid
President and CEO | Troilus Gold Corp.
36 Lombard Street, Floor 4, M5C 2X3 Toronto, Ontario (CAN)

info@troilusgold.com

+1 (647) 276-0050

Interview Troilus Gold: "We are convinced that Troilus is more than just a mine".


John Jeffrey, CEO, Saturn Oil + Gas Inc.

John Jeffrey
CEO | Saturn Oil + Gas Inc.
Suite 1000 - 207 9 Ave SW, T2P 1K3 Calgary (CAN)

info@saturnoil.com

+1-587-392-7900

Saturn Oil + Gas CEO John Jeffrey: "Acquisition has increased production by 2,000%"


09. March 2021 | 07:20 CET

Nornickel, Kodiak Copper, BHP Billiton: From general stores to specialists

  • Copper
Photo credits: pixabay.com

While precious metals have been consolidating for months, copper prices continue to climb. Most recently, copper started a new upward movement at the end of February and is now more expensive than it has been for decades. What is the reason for this? On the one hand, copper has always been a sought-after industrial metal. Whenever investments are made in infrastructure worldwide, copper climbs. At the same time, copper benefits from the high demand from the automotive industry. Every electric car contains around three times more copper than conventional combustion engines. We highlight three stocks that can benefit from the copper boom.

time to read: 3 minutes by Nico Popp
ISIN: US55315J1025 , CA50012K1066 , AU000000BHP4


Matthew Salthouse, CEO, Kainantu Resources
"[...] We have a clear strategy for neutralizing sovereign risk in Papua New Guinea. [...]" Matthew Salthouse, CEO, Kainantu Resources

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


Nornickel wants to become more sustainable

Nornickel suffered severe setbacks in 2020 due to an environmental scandal and benefited little from rising copper prices. The Company primarily produces palladium (37%) and nickel (25%), with copper contributing only one-fifth of sales. Last summer, a subsidiary of Nornickel leaked large quantities of diesel. The associated fines could run into the billions. Sales in the copper business also fell in 2020, upsetting shareholders. Now Nornickel wants to counter the situation with a quality offensive and, above all, become "greener."

Thanks to new technologies, copper is to be mined more sustainably in the future and the impact on the environment reduced. The Company will cease smelting production on the Russian Kola Peninsula by the end of the year. All this reduces environmental damage and should positively impact ESG scores, which investors are increasingly looking at in companies. After Nornickel's share price soared a few weeks ago, it then sold off. The reason was production losses at two mines in Siberia due to water damage. Until the extent can be quantified, investors should keep their hands off Nornickel. However, if the consequences are marginal, the stock could be worth considering due to its high dividend.

Kodiak Copper: Pure-play copper, 50% below the peak price

While Norilsk Nickel is an established commodity producer with a diversified portfolio, Kodiak Copper is a pure copper play. In 2020, the Company impressed with phenomenal drill results on its MPD project and was considered the "next big thing" in the mining scene. After quiet months, the share price picked up again in February. Kodiak Copper had released drill results from last year, successfully identifying copper deposits. However, as two drill holes failed, the spark on the market was not yet sustainable. For late deciders who still want to jump on the copper bandwagon, this could be an opportunity.

In 2021, Kodiak Copper is scheduled for further exploration work. The Canadians already have the necessary funds in their pockets. In addition to MPD, Kodiak also wants to explore its Mohave project in Arizona in more detail. The property is located near Freeport McMoRan's Bagdad mine. Across the board, Kodiak Copper should be a familiar name to many companies in the mining industry. With its approach of targeting large projects amid established infrastructure that have been explored in the past but can positively surprise with new processes, Kodiak Copper has occupied an attractive niche. In 2020, the share price peaked at CAD 3.37 - currently, the stock is trading around CAD 1.50. Given the dynamic demand for copper and the promising assets, the stock is not uninteresting.

BHP Billiton: China business gives hope

Whenever commodities are discussed, BHP Billiton's stock also becomes a topic. Indeed, the Company has a hot iron in the fire with a copper share of around one quarter in terms of sales. But the Company's coal and petroleum business is just as important. However, there is nothing to be gained from this, even given the sustainability boom in mining. The latest figures for the division were also relatively low. Things went better for iron ore.

Although BHP Billiton is not considered to have a promising future because of its coal business, the Company wants to become greener. It has set itself the goal of reducing CO2 emissions by up to one third by 2030. Even though the figures have recently been somewhat mixed, the share price has risen significantly in recent months. BHP Billiton has a strong business in China and should continue to benefit from this. However, the commodity giant is not a copper stock. Smaller stocks, such as Kodiak Copper, are likely to offer greater leverage on the copper price.


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:

30. July 2021 | 11:21 CET | by Carsten Mainitz

First Majestic Silver, Kodiak Copper, Orocobre - Metals for e-mobility offer great growth potential

  • Copper

Tesla, NIO and Polestar, the pioneers of e-mobility. But the global climate crisis and the realization that it can only be combated with the help of a consistent reduction in greenhouse gases has also led traditional car manufacturers to realize that alternative drive concepts are necessary, not least as a result of legal requirements. Electromobility has currently established itself as the most promising option. Manufacturers are now hastily trying to steer their product development in this direction and are making announcements about the end of the internal combustion engine: Jaguar wants to phase out the engine by 2025. Fiat, Volvo and Ford have announced the end of the engine by 2030. VW has set the period between 2033 and 2035 as its target, at least for Europe, and Audi wants to phase out entirely by then. Mercedes also has a similar date in mind. However, all e-cars have one thing in common: they are very hungry for raw materials. An e-car requires about four times as much copper as a combustion engine. Consumption of gold and silver (onboard electronics) and lithium (batteries) will also increase significantly.

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21. July 2021 | 12:49 CET | by Armin Schulz

QMines, Varta, Siemens Energy - Who benefits from the copper shortage?

  • Copper

The copper price has moved significantly upwards over the past year. On the one hand, this is due to the increasing demand caused by sustainability topics such as renewable energies, e-mobility and global electrification. On the other hand, the metal has become scarce. Whereas 60 profitable copper projects were launched in 2008, only 36 were established in 2020, and this with declining mining values. In 2015 0.65% copper per ton was still being mined; this value will fall to 0.55% by 2025. Existing large copper mines will also need billions in the coming years to maintain their production levels. These additional costs will be passed on to consumers. Today we highlight three companies that either produce or need copper.

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20. July 2021 | 12:38 CET | by André Will-Laudien

BYD, Volkswagen, Kodiak Copper: The 1000 Dollar Correction!

  • Copper

The copper price had reached its interim high in May 2021 at around USD 10,500. Since then, we have seen a standard consolidation of 10-15%, which is not an unusual occurrence in an uptrend. The increase since the beginning of 2020 is over 100%. Copper mines have been able to post multiple performances in the same period, and the recent correction was accordingly somewhat higher. For many market participants, however, the medium-term scenario for the industrial metal is set. Since the political closing of ranks on e-mobility, demand for copper and battery metals has shot through the roof. Mine operators worldwide are alarmed; the currently recoverable capacities cover just 85% of the demand from 2022. Who can close the gap?

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