Industry Analysis & Industry Trends
The Copper, Silver, Lead and Zinc Smelting and Refining industry is expected to generate revenue of $7.62 billion in 2012-13. Although revenue is expected to grow by 6.8% that year, over the five years through 2012-13 lower prices are expected to yield an annualised fall of 4.7%.
The industry is expected to produce 490,000 tonnes of refined copper, 500,000 tonnes of refined zinc and 200,000 tonnes of refined lead in 2012-13. The production of lead bullion and refined silver is expected to amount to about 160,000 tonnes and 860 tonnes respectively. About 70.2% of industry output by value is exported, while imports are low. As a result, the size of the local market for base metals is much lower than industry revenue, at an estimated $2.47 billion in 2012-13... purchase to read more
Industry Report - Industry Investment Chapter
Base metal smelting and refining relies on large-scale investment in capital equipment rather than upon labour. The ratio of wages to depreciation is about 1:1.4, reflecting the importance of capital investment to the industry. The need to service the capital expended in refinery construction dwarfs wage costs.
Typically, base metal refineries cost over one billion dollars to construct. The most recent one built in Australia, Sun Metals zinc refinery, cost $650 million in 1999-00... purchase to read more