SHANGHAI, Jun. 12 (SMM) – Environmental protection inspections continued to curb China’s lead concentrate production, SMM stated.
Some mines in Guangxi shut down by environmental protection crackdowns recovered production, slightly driving up concentrate supply in south China. Nevertheless, most mines in Fujian were still closed because of environmental protection inspections and expiration of mining licenses.
Tumbling sliver price left some concentrate suppliers reluctant to sell, but most of them shipped out goods normally.
SMM expects domestic concentrate TCs to remain stable for near term.
Mainstream TCs for domestic concentrate (Pb 50%) were 1,800-2,000 yuan/tonne (Pb content) this week. TCs for imported concentrate (Pb 60%, Ag < 1,000 g) quoted as high as $ 185 per dry metric tonne, and mainstream TCs held steady at $170-180 per dry metric tonne.
Lead concentrate imports’ profits rose 30 yuan/tonne (Pb content) to 610 yuan/tonne (Pb content) this week, versus domestic ones.