Any idea what this will do to copper scrap prices??

**NJSouth** · 12-23-2014, 05:48 AM

Fed land swap gives go-ahead to Arizona's 1.6B-ton copper mega-mine | Fox News

Huge copper mine being authorized to open in AZ.

**sledge** · 12-23-2014, 06:22 AM

Chances are it may not affect prices for scrap at all. Worldwide demand is so high for copper that I read an article that said the world consumes copper at the rate of 3 full sized mines a year. There was even some talk that the world could mine itself out of copper by the year 2100.

**AuburnEwaste** · 12-23-2014, 08:41 AM

It is cheaper to recycle existing Copper than mine it out of the ground. It will not have any effect on prices.

**KzScrapper** · 12-23-2014, 12:26 PM

If the demand wasn't there they wouldn't be wasting time and money firing it back up.

**mnrecycler** · 12-23-2014, 12:26 PM

All true to a point, but whenever you increase supply you decrease demand. However I doubt you will notice.

**t00nces2** · 12-23-2014, 02:32 PM

Originally Posted by mnrecycler

All true to a point, but whenever you increase supply you decrease demand. However I doubt you will notice.

I am not sure I agree with your statement. Twenty years ago, there was no I-Phones and there was no demand. Today, there are millions, and the demand is sky high. Thirty years ago, there were no laptop computers, today there are millions, and demand is sky high. In 1850 there were no cars, there are billions today and demand is sky high. Oil? The same. Titanium? The same. Lithium? The same. Neodymium? The same. Sometimes an increase in supply spurs a huge increase in demand.

**diggydiggy** · 12-23-2014, 02:59 PM

I so agree with you t

**mnrecycler** · 12-24-2014, 04:54 AM

Originally Posted by t00nces2

I am not sure I agree with your statement. Twenty years ago, there was no I-Phones and there was no demand. Today, there are millions, and the demand is sky high. Thirty years ago, there were no laptop computers, today there are millions, and demand is sky high. In 1850 there were no cars, there are billions today and demand is sky high. Oil? The same. Titanium? The same. Lithium? The same. Neodymium? The same. Sometimes an increase in supply spurs a huge increase in demand.

I see your point but in all your beginning examples supply = 0 and demand = 0 since the product didn't exist yet.

**pcscrapper** · 12-24-2014, 05:49 AM

Well, before the MEGA COPPER MINE, look at the copper spot prices its falling,, It really doesn't matter, it like gas,,, oil, yes the oil drop so will the gas... so.. yea maybe a little drop but not much to notice, copper been always all over the board, they even said it was to hit 4.00 this past year never did make it, if the economy running good more manufacturing brings in more demands will bring the prices up... the problem is all of the manufacturing is overseas perhaps not all , but I think You understand... so.. Lets GET USA Up and RUNNING... Support your local business.

**t00nces2** · 12-24-2014, 06:13 AM

Originally Posted by mnrecycler

I see your point but in all your beginning examples supply = 0 and demand = 0 since the product didn't exist yet.

Fair enough... But it is your statement taken to the extreme (not really a word I like to use for this example as I do not really consider zero an extreme because at one time it did exist... as once there was zero copper, and now there is huge supply and demand).

Please give an example of a situation where you believe your statement applies.

**mnrecycler** · 12-24-2014, 11:55 AM

Economics Basics: Supply and Demand | Investopedia

**EcoSafe** · 12-24-2014, 12:02 PM

The price of copper is not determined by rarity. It is determined by cost of recovery, demand, and processing. ie. the cost of leasing one tire from one truck used in a copper mine.

**eesakiwi** · 12-26-2014, 03:02 AM

Originally Posted by olddude

The price of copper is not determined by rarity. It is determined by cost of recovery, demand, and processing. ie. the cost of leasing one tire from one truck used in a copper mine.

So, electricity costs would be a big factor. The copper mine is powered by electricity, the vehicles by gasoline.
The Copper that comes from the mine will be used for Copper pipe etc.

Then its recycled, using electric cells, into electrical wire etc.

From what i have figured out, 'virgin Copper' the stuff straight from the mine, has contaminates in it, its still good for Copper pipe etc, but not good enough for carrying electricity.
To upgrade it to electrical standard they need to rerefine it. Thats a waste of power etc when thats whats going to happen to the recycled Copper anyway.

So, while the supply of Copper does dictate its price, how much it costs to get out of the ground.
Its the power/fuel costs that probably affect it the most.
Is this correct?

If gasoline and electricity prices go down, whats going to happen to the price of copper?
What happens if they go up?

**DevinThaScrapper** · 12-27-2014, 02:15 AM

The world grows everyday and we always are inventing new things and more copper is being used. I doubt it will effect the prices too much. And it's quite possible the environmentalists shut it down. If anything prices will rise because of the everyday growing demand of precious metal

**smarkham01** · 01-01-2015, 10:50 PM

Naw, when you increase supply the demand price, not demand, goes down - unless all those econ types have been lying to us.

**BDAScrapper** · 01-01-2015, 10:55 PM

Dunno about the states, but Bermuda is a throw away society, demand for electronics is at an all time high and gets higher each year.... Being as how we have to import everything, I'd say this won't make a difference to scrap prices, if they figure they can make money mining it, as the demand is high, the demand may get higher, maybe this will increase the price for scrap copper.

P.s. The more they mine, the more scrap we get....

**glumpy** · 01-02-2015, 02:31 AM

My guess is what it will do to copper prices, partucularly scrap, Is absoloutley nothing at all.

Like every commodity, it will rise and fall according to market forces beyond one mine. The biggest thing to remember is these articles are always Hyped to the eyeballs to see newspapers and attract investors. They are never as wonderful as they make out.
If you look at the way business operates, like oil they will regulate production to keep both demand and prices high. They are not going to flood the market and only get half what they could for their product, they will produce enough to keep the price where they want it and fulfill the orders they get without allowing the price to fall. Simple economics.

I like the bit in the article that said the mine can fulfill 25% of Americas copper needs for the next 40 years. They could have said will supply 1% of Chinas copper needs for the next 12 months but that wouldn't sound nearly as good would it? :0)
Manufacturing in the west is dead and buried so worrying about the needs of a western country is like worrying about the gold fish having enough water when dying of thirst. Even if a mine will put a dent in a countrys needs, it's a global market and they are not going to flood it and drop prices which will result in lower returns on their own investment even if they had the ability, which they do not.

In any case, will probablky take 5-10 years before the mine comes on stream enough to make a difference and the demand will have risen enough but then to make prices even higher and supply harder to get.

**DakotaRog** · 01-02-2015, 08:45 PM

Hey BDA Scrapper, welcome! How many places do you have to sell your scrap on the island??

**BDAScrapper** · 01-02-2015, 11:04 PM

Originally Posted by DakotaRog

Hey BDA Scrapper, welcome! How many places do you have to sell your scrap on the island??

Zero mate, I'm new (2 years) at this but have insanely big dreams..... 21 miles but we are a total throw away society. I'm on here looking for more info on shipping to the US (NY port Elizabeth)

Any idea what this will do to copper scrap prices??

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