March 30, 2016
Tech metal update: blackmarket cobalt, flake graphite caution, and tin's energy future
Publisher: Investor Intel
Author: Robin Bromby
Here are two facts to know about the cobalt business. One, that up to 35% of the cobalt produced in the world comes from mining operations that are losing money (mainly from the nickel they also produce). Two, that some 10,500 tonnes a year (of the total 110,000 tonnes mined last year) is pulled out of the ground by artisanal miners in the Democratic Republic of Congo.
[Later in the article, they state:]
The good news for those companies, such as Formation Metals (TSX:FCO) in North America and Broken Hill Prospecting (ASX:BPL) in New South Wales, is that CRU estimates that increased government restrictions, increased regulation by end-user companies and variations in metal prices that inhibit buying by international traders, could see the output by Congolese artisanal miners decrease by up to 30% by 2020
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