China Lead Concentrate Output Falls 13.67% in March 2015

SHANGHAI, Apr. 28 (SMM) – China’s lead concentrate output dropped 13.67% on the year to 191,000 mt in March. YTD output through March declined 16.28% to 417,000 mt.

SMM attributes the sharp fall in lead concentrate output to the following:
First, many illegal mines have been shut down during environmental protection and safety production inspections.
Second, depressed silver and lead prices have discouraged mining. The average SMM #1 lead price dropped RMB 1,336.9/mt in March to RMB 12,350/mt, and SMM #2 silver prices averaged RMB 3475.7/kg, down by RMB 684.3/kg.

Many north China mines – notably in Inner Mongolia – resumed production in April, environmental issues and safety production reviews will continue to curb concentrate production.