copper prices

Japan’s reconstruction could prompt a further rise in copper prices. This new FREE report shows you how you can profit with less risk. Copper continues to attract a lot of investor attention. That’s because copper prices recently hit an all-time high of $4.62 U.S. a pound. That’s up sharply from a low of $1.25 U.S. in late 2008. Copper prices fell to around $4.10 U.S. a pound in the wake of the Japanese earthquake and tsunami, but have moved up since then. The dip in copper prices mainly reflects investor fears that copper demand will drop because the disaster has slowed Japanese industrial production. But that’s just temporary. As the reconstruction of Japan gets underway, the need for wiring, piping, and other copper-based products will be great. That could prompt a further rise in copper prices....

AMERIGO RESOURCES $1.10 (Toronto symbol ARG; TSINetwork Rating: Speculative) (604-681-2802; www.amerigoresources.com; Shares outstanding: 171.5 million; Market cap: $188.7 million; No dividends paid) has risen 69% since June 2010 on higher copper prices. Amerigo processes copper and molybdenum from the waste rock from Chile’s El Teniente, the world’s largest copper mine. The contract runs at least through 2021. Amerigo has a further agreement to process a supplementary source of material from the nearby Colihues tailings pond. The company gets 94% of revenue by processing copper. The remaining 6% comes from molybdenum....

Copper continues to attract a lot of attention from investors in commodity stocks. That’s because the metal recently hit an all-time high of $4.62 U.S. a pound. That’s up sharply from its low of $1.25 U.S. in late 2008. Right now, copper trades at around $4.47 U.S. a pound. Traditionally, investors have bought copper as a way to profit from general economic growth. That’s because, unlike gold, silver and many other precious metals, copper has a wide range of industrial uses. For example, it’s a key element in electrical wire and pipe. ...

Copper Mountain Mining, $7.28, symbol CUM on Toronto (Shares outstanding: 89.9 million; Market cap: $654.3 million; www.cumtn.com), owns 75% of the Copper Mountain project in B.C. The company’s stake in this project is its main asset. Mitsubishi Group of Japan owns the remaining 25%. Mitsubishi plans to finish a mine on the site by April 2011. So far, the $438-million mine is on schedule and on budget. The mine is expected to reach full production by June 2011. At that point, it should produce about 96 million pounds of copper per year. Copper Mountain’s shares have moved up lately. That’s because of rising copper prices and the approaching start-up of the mine....

Taseko Mines, $5.67, symbol TKO on Toronto (Shares outstanding: 186.8 million; Market cap: $1.1 billion; www.tasekomines.com), owns a 75% interest in the Gibraltar copper/molybdenum mine in British Columbia. The company was also advancing the very large 100%-owned Prosperity copper/gold project in central British Columbia toward production. However, on November 2, 2010, the federal government said it would block the project because it was concerned that Prosperity would cause environmental damage to a pristine area. The decision was unexpected, because Prosperity had already been approved by the province of British Columbia. Taseko may be able to re-engineer the project to address the federal government’s concerns, but the decision will likely delay development by many years....

QuadraFNX Mining, $16.26, symbol QUX on Toronto (Shares outstanding: 188.9 million; Market cap: $3.1 billion, www.quadrafnx.com), completed its merger with FNX Mining earlier this year. The combined company now operates five mines in Canada, Chile and the U.S. In 2011, Quadra FNX expects these mines to produce about 300 million pounds of copper and more than 150,000 ounces of gold, platinum and palladium. Quadra FNX also owns the Sierra Gorda copper/molybdenum development project in Chile, and the Malmbjerg molybdenum development project in Greenland....

NORTHGATE MINERALS CORP. $3.08 (Toronto symbol NGX; SI Rating: Speculative) (604-681-4004; www.northgateminerals.ca; Shares outstanding: 291.1 million; Market cap: $896.5 million; No dividends paid) is focused on building a mine at its Young-Davidson gold property in northern Ontario. The $339-million open-pit/underground mine is now under construction, and is scheduled to start up in 2012. It is expected to produce 180,000 ounces of gold per year for the first two years of its expected 15-year life. Its production would then rise to 190,000 ounces. Northgate also owns the Kemess South open-pit gold/copper mine in north-central B.C. However, it expects to exhaust this mine’s reserves in 2011....

Equinox Minerals, $6.15, symbol EQN on Toronto (Shares outstanding: 707.9 million; Market cap: $4.4 billion; www.equinoxminerals.com) is focused on mining and exploration in Zambia. Equinox first sold shares to the public at $0.71 Cdn. each, and began trading on Toronto in June 2004. The Perth, Australia-based company subsequently listed on the Australian Stock Exchange. Equinox operates its 100%-owned Lumwana copper mine in Zambia, West Africa. Lumwana began production in 2008....

Inmet Mining, $61.60, symbol IMN on Toronto (Shares outstanding: 56.1 million; Market cap: $3.5 billion), is a Canadian-based mining company that produces copper, zinc and gold. Inmet operates five mines: Cayeli in Turkey, Pyhasalmi in Finland, Troilus in northern Quebec, Ok Tedi in Papua New Guinea and Las Cruces, a high-grade copper deposit in Spain. Inmet recently started up production on this last site. Inmet also has a 100% interest in the pre-development stage Petaquilla copper project in Panama. In 2008, Teck Resources opted out of the project, and development is suspended because the mine’s projected operating costs are above current copper prices. In the three months ended September 30, 2010, Inmet’s revenue rose 30%, to $313.3 million from $241.1 million a year earlier. Earnings rose 39.9%, to $86.1 million, or $1.53 a share, from $61.6 million, or $1.10 a share. In the latest quarter, higher copper and zinc prices increased Inmet’s revenue and earnings, as did the contribution from its new Las Cruces copper mine in Spain....

AMERIGO RESOURCES $0.88 (Toronto symbol ARG; SI Rating: Speculative) (604-681-2802; www.amerigoresources.com; Shares outstanding: 170.9 million; Market cap: $150.4 million; No dividends paid) has moved up 52% since June on higher copper prices. Copper is up 38% during that period, to a two-year high of $3.81 U.S. a pound. Rising demand from China is the main reason for the price rise. Amerigo processes copper and molybdenum from the waste rock from Chile’s El Teniente, the world’s largest copper mine. The company gets 94% of its revenue by processing copper. The remaining 6% comes from molybdenum. In the three months ended June 30, 2010, Amerigo’s revenue was $32.4 million, up 79.5% from $18.1 million a year earlier. (All figures except share price and market cap in U.S. dollars.) The company earned $2 million, or $0.01 a share, compared to a loss of $2.3 million, or $0.02 a share. Cash flow was $4.7 million, or $0.03 a share, in the latest quarter....