|Bid||45.51 x 0|
|Ask||41.37 x 0|
|Day's Range||41.18 - 41.57|
|52 Week Range||30.31 - 42.33|
|Beta (3Y Monthly)||0.67|
|PE Ratio (TTM)||40.37|
|Earnings Date||Aug 20, 2019|
|Forward Dividend & Yield||1.64 (3.96%)|
|1y Target Est||25.45|
(Bloomberg) -- Ecuador’s ambition to become a mining superpower is being tested as the South American nation’s first large-scale copper mine starts operations.The $1 billion Mirador project in Zamora-Chinchipe province started ramping up production Thursday, Ecuador’s vice-ministry of mines said. The open-pit copper, gold and silver mine, owned by a Chinese consortium, has faced delays amid opposition by environmental groups and local communities.The mine is key to Ecuador’s goal to boost mining exports to $1.89 billion by 2021, from $270 million last year, and to quadruple its share of the country’s gross domestic product to as much as 4%. It’s a first step toward mirroring the growth story of Chile, which exported $40 billion in mining products in 2018. But the path isn’t free of challenges.“It’s the start of a new era in the economy of the country,” if it’s responsibly managed, said Fernando Benalcazar, Ecuador’s deputy mining minister, by telephone. “Symbolically, it’s the equivalent of when, in 1972, the president received the first barrel of oil.”The mine is owned by EcuaCorriente SA, a joint venture of Tongling Nonferrous Metals Group Co. and China Railway Construction Corp. It will process 10,000 tons of minerals per day in the short term, which will rise to 60,000 within months, Resources Minister Carlos Perez said during the inauguration of the mine on site. Over its lifetime, it will pay royalties and taxes amounting to $7.6 billion, he added.The project could help alleviate tightness in a copper market that’s expected to post a 189,000-ton deficit by the end of this year with few new projects coming on line and existing mines facing production disruptions, according to the International Copper Study Group.Accelerate Investment“Success in this operation could accelerate investment by this and other companies into other large mining projects,” said Erik Heimlich, a CRU Group analyst in Santiago, Chile. “Maintaining environmental standards and good community relations will be key to the success of mining in Ecuador.”Mirador was initially set to start producing in 2016, but construction was suspended after environmental and indigenous organizations alleged the Chinese-owned consortium had committed human-rights abuses. Construction resumed in March, but the victory of opponents to industrial mining in local elections later that month raised alarm bells again.“Let’s not forget that there is a proceeding before the Inter-American Human Rights Commission for the reparation of environmental rights of local communities that should be a worry for the state,” said lawyer Mario Melo, who has represented indigenous communities in high-profile environmental cases. ”There are worries regarding aspects like the tailings dam and the infrastructure construction that have already caused a worsening of environmental conditions in the region, and of living conditions.”The mine sits in a remote, mountainous jungle area on the Condor mountain range, close to the border with Peru. While gold and silver can be shipped by plane, trucks transporting copper concentrate will face a 220-mile journey through narrow, meandering roads across the country’s southern provinces.Next on Ecuador’s pipeline of big projects is Lundin Gold Inc.’s Fruta del Norte, which is set to start producing during the fourth quarter. Most of the world’s top mining companies are exploring for gold and copper in the country, including BHP Group Ltd., Hancock Prospecting Pty., Fortescue Metals Group and Newcrest Mining Ltd.Source: Ecuador Vice-Ministry of MinesTo contact the reporters on this story: Laura Millan Lombrana in Santiago at email@example.com;Stephan Kueffner in Quito at firstname.lastname@example.orgTo contact the editors responsible for this story: Luzi Ann Javier at email@example.com, Reg Gale, Steven FrankFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
The price of iron ore remained above $120 a tonne on Wednesday after BHP Group, one of the world’s biggest suppliers of the steelmaking ingredient, revealed annual exports had declined for the first time this century. In a trading update, the Anglo-Australian miner said it had shipped 270.5m tonnes of iron ore in the 12-months to June, down from 273.2m tonnes in 2018 — the first year-on-year decline in sales since at least 2000. Supply disruptions in Australia and Brazil and record steel production in China has seen the price of iron ore climb by almost 67 per cent this year to more than $120 a tonne, a level it last traded at in 2019.
BHP plans to produce less thermal coal from its assets in Australia over the next 12 months as it looks to pivot away from China and focus on more profitable markets in Japan and Taiwan. The company said on Wednesday its Mount Arthur mine in New South Wales would produce between 15m and 17m tonnes of the coal in the year to June 2020, down from 19m in 2019, so it could focus on “higher quality” products. Thermal coal, which is burnt in power stations to generate electricity, can be washed to produce a higher-energy content product.
China consumes more than 70% of seaborne-traded iron ore. As a result, iron ore investors should track China's demand and outlook. Today, China released its trade data for June. China's iron ore imports were 75.18 million tons in June—9.7% lower YoY (year-over-year) and 10.2% lower month-over-month. In June, China's imports fell to the lowest level […]
China’s central government is paying close attention to the sharp rise in iron ore prices. The CISA asked the government to investigate the spike.
Natural gas prices have seen some volatility over the past few months, bouncing between highs near $3.00 per million British thermal units (MMBtu) and lows just above $2.50. The commodity currently trades at roughly $2.
Australia’s S&P ASX 200 was the best-performing index in the Asia-Pacific region on July 3. The index gained 0.59% on the day to end near its 12-year high at 6,685.5.
The United States and China agreed on Saturday to restart trade talks after their respective heads of state met on the sidelines of a G20 summit in Japan. For the day, mining stocks were the biggest contributors to gains, with the subindex adding about 0.7%. Strength in mining stocks was primarily driven by stronger iron ore prices over the past quarter.
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Insider Monkey tracks hedge funds, billionaires, and prominent value investors for a very simple reason: their consensus picks generally outperform the market. We aren’t the only research shop broadcasting this fact using a bullhorn. Here is what strategist Ben Snider said in Goldman Sachs’ periodic hedge fund report: “Despite the strong track record of popular […]
Australia’s ASX 200 lost 0.26% today. The index remained in a downward momentum within a narrow range today. 58 stocks in the index gained while 131 fell today. Among the sectors, industrials, healthcare, and basic materials were the only gainers today.
NAI Partners, a Houston-based commercial real estate services firm, has entered into a deal of its own, setting up the company’s move into a larger office space later this year. NAI Partners has signed a lease for a full floor at the Four Oaks Place office complex in the Uptown/Galleria area. NAI Partners’ new headquarters at 1360 Post Oak Blvd., commonly called BHP Billiton Tower, will be about a half mile from its current location at 1900 West Loop South.
Australia’s ASX200 lost marginally today. Although the index was trading higher until noon, it erased those gains afterward. 70 stocks gained, while 118 fell. BHP Group (BHP) outperformed the index with marginal gains, while Rio Tinto (RIO) gained 0.64%.
Coal is widely used across the globe as a source of electricity. Find out how efforts to use cleaner energy sources are affecting the top coal stocks in 2019.
Australia’s ASX200 recovered today after a loss on Friday. After losing 0.55% on Friday, the index rose 0.22% today. Out of 200 stocks in the index, 83 advanced, while 103 retreated. 14 stayed unchanged today. BHP Group (BHP) and Rio Tinto (RIO) were among the gainers, while News Corp (NWSA) lost 1.29% on the Australian Stock Exchange today.
How do you pick the next stock to invest in? One way would be to spend hours of research browsing through thousands of publicly traded companies. However, an easier way is to look at the stocks that smart money investors are collectively bullish on. Hedge funds and other institutional investors usually invest large amounts of […]
On June 19, Australia’s ASX200 posted its second consecutive gain. The index rose 1.2% and closed at a fresh 11-year high of 6,648.10. The index is inching towards its lifetime high of 6,851.5.
Tighter environmental controls are pushing Chinese mills to go for higher-quality imported ore as opposed to domestic ore. Seaborne iron ore exporters including Vale (VALE), BHP Billiton (BHP), and Rio Tinto (RIO) generate more than two-thirds of the total seaborne iron ore supply.