World copper mine production up 2.9% in Jan-Apr'22: ICSG study

International Copper Study Group (ICSG) has released the preliminary data on global copper supply and demand for the month of April, 2022.

World copper mine production increases 2.9%

Preliminary data indicates that world copper mine production (primary and secondary) increased by about 2.9% in the first four months of 2022 to 7 mnt as against 6.8 mnt in the same period in 2021. The incremental production has come from newly established or expanded mines and recovery from the lower output levels seen in the first four months of 2021, when governments had imposed Covid-19 restrictions, due to the Omicron variant.

Peru copper mine production up by over 2%

Output from the copper mines of Peru, the world's second-largest copper mine producer, increased by around 2.8% to 0.72 mnt in the first four months of 2022, as against 0.70 mnt in the same months of 2021. This was due to the fact that, at the beginning of 2021, the Peruvian mining industry was still operational despite being severely impacted by Covid-19 lockdowns.

Despite the recovery, production in the first four months of 2022, was still 6.5% below 2019 (pre-Covid) levels, SteelMint understands.

World refined copper production rises by over 3%

As per ICSG, world refined copper production increased by 3.4% to 8.44 mnt in the first four months of 2022 as against 8.16 mnt in the same period in 2021. Chilean total refined copper production (electrolytic and electrowinning) remained essentially unchanged, with a 3.3% reduction in electrolytic output which was offset by a 2.2% increase in electrowinning (SX-EW) production.

World copper balance in surplus

In the first four months of the current calendar, the world refined copper balance, based on Chinese apparent usage (excluding changes in bonded/unreported stocks), indicated a preliminary surplus of about 0.095 mnt. The world refined copper balance, after adjusted for changes in Chinese bonded stocks, indicated a market surplus of about 0.213 mnt.

World copper mine capacity utilization

Notably, world copper mine capacity utilization remained at 79.1% in the first four months of 2022, as against 80.8% is the same period of the previous year. Copper refinery capacity utilization remained at 84% in the first four months of 2022, as against 82.7% in the same period last year. World refined copper stocks were recorded at 1.334 mnt in the first four months of 2022, as against 1.331 mnt in the same period last year.