Mining Digital June 2024 | Page 69

SUPPLY CHAINS & OPERATIONS
copper – such a vital component in electrical systems – is soaring .
Copper ’ s role in global electric vehicle ( EV ) production is particularly vital here . An EV requires more than three times the amount of copper than is used in an internal combustion engine , while buses require at least ten times as much .
A total of 1.9 million new EVs were registered in 2023 , a 17.9 % increase on 2022 , according to the International Energy Agency . That means the EV-charging ecosystem will also have to be ramped up – which will require a great deal of copper .
Then there ’ s the development of power grids in China and India . Together , these countries account for almost half the world ’ s population , and this is also a strong driver of the demand for copper .
The copper problem is compounded by other factors , including sustained underinvestment in the sector , a paucity of new discoveries and shutdowns .
Analysts have been predicting a profound copper supply deficit for years , but this has been slower to materialise than many predicted . This is partly explained by global
ONE TONNE OF COPPER
Helps run 40 CARS
Delivers electricity to 30 HOMES
Enables 400 PCS
Powers 100,000 MOBILE PHONES
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