SMM1: Anil Agarwal, chairman of (Vedanta Resources Plc), Vedanta Resources, expects base metal prices to rise another 10 per cent in the future after rising 60 per cent in the past two years.
Zinc prices are now high because there are few new zinc mines. In an interview with the BloombergQuint at the World Economic Forum in Davos, Agarwal said mining prices would rise because there was no new money to invest in minerals. "
The Bloomberg Commodity Index rose to its highest level in two years as the pace of global economic growth accelerated, output was constrained and the dollar weakened. China's proposal to limit production by environmental protection and mining by Glencore Plc has reduced the supply of zinc metals.
Agarwal said Vedanta would invest $8 billion in zinc mines over the next three years to increase zinc production simply because Vedanta was bullish on zinc prospects. It is understood that Vedanta mainly engaged in zinc, copper, aluminum, iron ore, silver and oil. Agarwal said London-listed companies were also looking forward to bidding for debt-laden Electrosteel Steels at a "very good" price to advance India's steel market.
The text reads as follows:
Billionaire Agarwal Sees Metals Surge Extending 10% Led by Zinc
Billionaire Anil Agarwal, chairman of producer Vedanta Resources Plc, sees scope for a further 10
Percent jump in base metal prices after they soared more than 60 percent in the past two years.