Domestic TCs remained stable, but import offers increased [SMM Zinc Concentrate Weekly Review]

SMM April 18 News:

Weekly zinc concentrate TCs remained stable, with the SMM Zn50 domestic weekly TC average flat WoW at 3,450 yuan/mt (metal content), and the SMM Zn50 imported weekly TC average flat WoW at $35/dmt.

In the spot market for ore, as the month entered its latter half, domestic smelters continued to execute previously signed contracts for domestic zinc ore, with TCs in many regions remaining stable. For imported zinc ore, the SHFE/LME price ratio was favorable this week, leading to an increase in offers from import traders. However, the quoted TCs were low and did not meet the expectations of domestic smelters, resulting in minimal purchasing sentiment. Imported zinc ore transactions remained sluggish during the week. A tender for the Buenavista mine was held this week, with the bid closing next Monday. Additionally, a zinc ore tender in North China was priced at 5,350 yuan/mt (metal content) for self pick-up. SMM will continue to monitor subsequent TC adjustments.

On April 16, Boliden announced the completion of its acquisition of Lundin Mining's Neves-Corvo copper-zinc mine in Portugal and the Zinkgruvan zinc mine in Sweden. According to SMM, Boliden has received partial production from both mines, and personnel exchanges with the Zinkgruvan mine have been smooth. The transition is expected to have no impact on mine output. This acquisition will nearly double Boliden's zinc concentrate production, significantly improve the raw material self-sufficiency rate of its smelters, and also substantially enhance copper concentrate production.

This week, SMM's zinc concentrate inventory at China's main ports totaled 321,000 mt, up 600 mt WoW, with port zinc ore inventory maintaining a fluctuating trend.

》Order to view SMM metal spot historical prices