LONDON, Nov. 19 -- The lead market was in a surplus of 62,000 mt in the first nine months of 2009, according to the latest data from the International Lead and Zinc Study Group (ILZSG).
Refined production totaled 6.58 million mt, while consumption was at 6.51 million mt.
This compares with a deficit of 43,000 mt in the first nine months of 2008.
Refined metal production increased by 2.3% mostly due to an 18.8% rise in Chinese output.
"This was, however, partially offset by lower production in Australia, Germany, Italy, Japan, Mexico, Peru, Spain, the USA and a number of other countries," ILZSG said.
Lead mine production decreased to 2.89 million mt in January to September from 2.90 million mt in the year-earlier period.
"Decreases in lead mine output in Australia, Canada, Peru and Poland marginally exceeded increases in Bolivia, China, Mexico and the Russian Federation," ILZSG said.
A substantial increase in Chinese apparent refined lead metal demand of about 26% was, to a large extent, balanced by reductions of around 18% in Europe, about 9% in the USA and more than 36% in Japan.
During the nine-month period, stock levels increased by 66,000 mt.
Demand for lead eased to just over 752,000 mt in September, compared with 776,500 mt in August.
Three-month lead rose to USD 2,429/30/mt in the official session on the London Metal Exchange on Wednesday. Prices rose as high as UDS 2,447.75/mt after opening at USD 2,375/mt.
(Source: Metal Bulletin)