Chinese imports of molybdenum concentrate and molybdenum oxide nearly doubled from January to February as overseas sellers stepped up competition with Chinese producers. This did little, although, to correct prices.
The Erdene Resource Development Corporation reported that it had been producing 20 million pounds of molybdenum annually, but will slash production to five or six million pounds. Chief Executive Peter Akerley said: We would be looking at somebody who would help with investing in the project through supply agreements. For full story, click here
Imports of molybdenum into China surged in February as overseas sellers stepped up competition with Chinese producers. Imports of moly have surged because Chinese producers have found themselves largely unable to compete with cheaper import offers.
Velocity Minerals Ltd., a company dedicated to the acquisition and development of advanced or high grade molybdenum mineral properties. Velocity presently owns the mineral rights to two molybdenum projects in northern British Columbia (Mt. Haskin and Cassiar Moly) and is actively pursuing other properties in North America and internationally.
Molybdenum production of Antofagasta was 7,800 tonnes, 23.5% below 2007 but ahead of budget. For 2009, molybdenum production is expected to be 8,100 tonnes. For full story, click here
Molybdenum prices are currently hovering around the $9 per lb mark, a drastic decline from last Augusts’ high of $34. Molybdenum managed to hold its price point longer than other metals; but in the fourth quarter of 2008 the steel industry’s defeat sent molybdenum on a free fall.
The steel sector has been deeply impacted by the global economic climate; with an approximate 50% decline in production. Moly, as an important alloy, is following suit.
Thompson Creek Metals Co Inc reported that it is reducing mill capacity by 30 percent and will temporarily idle two mines this year due to poor market conditions. For full story, click here
Molybdenum prices took a considerable tumble in the fourth quarter of ’08, falling from USD 30 per pound in September 2008 to USD 9.50 at the end December 2008. Despite unprecedented demand for the metal, molybdenum prices crashed as crisis permeated the financial markets.
In 2008, molybdenum cost an average of $29/lb after peaking at $30 in 2007. On a monthly basis, however, molybdenum has sold for less than $10/lb for two months now. Investment bank Dahlman Rose & Co. in New York expects molybdenum to average $12/lb this year.
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