FY22 Overview & Safety Program Update
COPPER MARKET
III
SOUTH32
While new supply is coming online and
near-term surpluses are expected,
low visible inventories are
providing price support
Copper prices and warehouse inventories
(US$/t, LHS; kt, RHS)
12,000
Long term demand outlook supported by
renewable energy additions and
rising electric vehicle penetration
2040e supply and demand gap equivalent
to ~1Mt of new supply each year
Regional mine production capability versus primary demand
(Mt Cu)
35
1200
New mine supply required to
close gap, despite higher
assumed scrap recycling
10,000
8,000
6,000
4,000
2,000
30
1000
CAGR 2021-2025e:
4.5%
25
800
20
600
15
400
10
200
5
CAGR 2026e-2040e:
(4.0%)
2018
2019
2020
2021
2022
2021
ILME (RHS)
SHFE (RHS)
ICOMEX (RHS) ―LME Copper Price (LHS)
2027e
Total production capability
2033e
2039e
Primary demand
Source: Datastream, LME, SHFE, COMEX, South32 analysis
Source: Wood Mac LTO Q2 2022, South32 analysis
SLIDE 30View entire presentation