Inflationary pressures are affecting all businesses. While many businesses can pass this additional cost along to their customers, the mining business cannot. In many cases, they do not set the prices for the minerals they produce, so increasing costs eat away at profit margins. The price of copper today is roughly the same as this time last year ($4.40/lb), gold is up 5 or about $100/ oz, and iron ore is down $20/dmt. With some commodities that are in high demand, such as potash and coal oddly enough, producers are certainly in the driver's seat these days. Spot prices for both have tripled in the last year and some of that is attributable to the war in Ukraine, but not all of it.
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