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The World Copper Facctbook 2010

Ab
bout ICSSG
The
T International Copper Study G Group (ICSG) was formally established The current memberrs of ICSG are:
as an autonomo ous inter‐governmental organizaation on 23 Jan nuary
Belgium Luxembourg
1992, following a series of Ad Ho
oc meetings sponnsored by the Un nited
Chile Mexico
Nations
N (UNCTAD D) in 1986 and 1987 to review th he world situatioon of
China Netherlands
copper and discuss the need for ssuch a body. ICSSG serves to incrrease
copper market transparency and d promote interrnational discusssions European
Peru
and cooperation on
o issues related
d to copper. Union
Finland Poland
In
n order to fulfiill its mandate, the Study Gro
oup has three main
France Portugal
objectives:
o
Germanyy Russian Federration
• Increase maarket transparen ncy by promoting an exchange of Greece Serbia
information ono production, co onsumption, stocks, trade, and prices
p India Spain
of copper, byb forecasting prroduction and consumption,
c and by Italy Sweden
assessing thee present and future capacitie es of copper mines,
m
Japan United States
plants, smelters and refineriees.
• Promote inteernational coopeeration on matte ers related to coppper,
such as health and the environment, research, techno ology As part
p of its mandaate to provide a global forum w where industry an nd
transfer, regu
ulations and trad
de. goveernments can meet and discuss common
c problem ms and objectivees,
• Provide a glo
obal forum wheree industry and goovernments can meet
m ICSG
G meetings are held
h twice per yeear, typically in tthe Spring and Faall
and discuss common probleems/objectives. The T ICSG is the only at IC
CSG Headquarteers in Lisbon, Portugal. The meettings of the Stud dy
inter‐governmment forum solely dedicated to copper.
c Group are open to government
g mem mbers, their industry advisors an nd
invitted observers.

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pper Study Group
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The World Copper Factbook 2010

ICSG Officers and Secretariat


INTERNATIONAL COPPER STUDY GROUP OFFICERS FOR 2009 STATISTICAL COMMITTEE

Chairman Mr Erik Heimlich (Chile)


Chairman Mr Daniel Edelstein (U.S.A.)
Vice-Chairman Mr Carlos Caxaria (Portugal)
Vice-Chairman Mr Juan Cristóbal Ciudad (Chile)
Vice-Chairman Mr Bian Gang (China)

INDUSTRY ADVISORY PANEL


STANDING COMMITTEE

Chairman Mr Mark Loveitt (IWCC)


Chairman Mr Salim Bhabhrawala (U.S.A.)
Vice-Chairman Mr Alejandro Alarcón Garza (Mexico)
SECRETARIAT
Finance Committee Chairman Mr Henrique Santos (Portugal)

Secretary General Mr Don Smale


ENVIRONMENTAL AND ECONOMIC COMMITTEE
Chief Statistician Ms Ana Rebelo
Head of Environment and Economics Mr Carlos Risopatron
Chairman Ms Ajita Bajpai Pande (India)
Economist Mr Joseph Pickard
Vice-Chairman Ms Magdalena Kopijkowska-Gozuch (Poland)
Secretary Ms Fatima Cascalho

Contacts: Acknowledgements and Copyright:

International Copper Study Group ICSG would like to thank the International Copper Association, the Copper
Rua Almirante Barroso, 38‐6º Development Association, the European Copper Institute, the U.S.
1000‐013 Lisbon, Portugal Geological Survey, the U.S. National Park Service, the British Museum and
Tel: +351‐21‐351‐3870 Mr. Luis Hernán Herreros Infante for their contributions to the Factbook.
Fax: +351‐21‐352‐4035 The International Copper Study Group's World Copper Factbook © 2010 is
e‐mail: mail@icsg.org published by the ICSG.
website: www.icsg.org

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The World Copper Factbook 2010

ICSG Publications
• DIRECTORY OF COPPER MINES AND PLANTS (September 2010
• COPPER BULLETIN (monthly). The ICSG Copper Bulletin includes
edition). The Directory of Copper Mines and Plants highlights current
annual and monthly statistics on copper and copper products, their
capacity and provides a five year outlook of forecasted capacity for
production, usage and trade by country, as well as stocks and
over 1,000 existing and planned copper mines, plants and refineries on
exchange prices, providing a global view of supply and demand.
a country by country basis, including separate tables for SX‐EW plants.
Subscribers to the Copper Bulletin receive the Yearbook as part of
Salient details for each operation are included and the Directory
their annual subscription.
separates operations between Operating & Developing and
Exploration & Feasibility stages. The Directory is published twice per
• ICSG 2010 STATISTICAL YEARBOOK (July 2010). The ICSG Copper year.
Bulletin yearbook includes annual statistics on copper and copper
products, their production, usage and trade by country, as well as
• DIRECTORY OF COPPER & COPPER ALLOY FABRICATORS (FIRST USE)
stocks and exchange prices, providing a global view of supply and
2010 EDITION. This directory provides a systematic global overview of
demand for the past 10 years. The Yearbook serves as a useful tool
companies and plants involved in the first use of copper. First users are
for consultations and analysis on the longer term evolution of world
mainly semis fabricators that process refinery shapes into semi‐finished
copper production, usage, stocks and prices. Subscribers to the
copper and copper alloy products. The Directory covers wire rod plants,
Copper Bulletin receive the Yearbook as part of their annual
ingot makers (for castings), master alloy plants, brass mills, and
subscription.
electrodeposited copper foil mills. Published September 2010.

• ICSG GLOBAL COPPER SCRAP RESEARCH PROJECT REPORT (August


• ICSG STATISTICAL DATABASE. The ICSG maintains one of the world's
2010). Copper scrap generation, trade and use are playing a key role
most complete historical and current databases with statistics on copper
to balance the growth observed in recent years in the global copper
production capacities, data on copper production, consumption, stocks,
market. If the demand for copper continues the dynamic growth
prices, recycling and trade for copper products. Historical data series and
related to electrification, infrastructure development and
other data are available on custom request.
urbanization observed mainly in developing countries, and led by
China in the last two decades, then the domestic supply, demand and
international flows of copper scrap are expected to remain important
issues for all copper related business in the medium and long term. For more information about ICSG and ICSG publications,
This report presents a comprehensive picture of the global copper please visit our website at www.icsg.org
scrap market and its determinants, synthesizing the findings of ICSG
research project on the copper and copper alloy scrap market.

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The World Copper Factbook 2010

Table of Contents Copper and Copper Alloy Semis Capacity by Region & Product
Copper and Copper Alloy Semis Production by Country: Top 20
25

About ICSG i Countries, 2010 26


ICSG Officers and Secretariat ii
Chapter 3: Copper Trade 27
ICSG Publications iii
Major International Trade Flows of Copper Ores and Concentrates 28
Table of Contents 1 Major International Trade Flows of Copper Blister and Anode 29
Major International Trae Flows of Refined Copper 30
Chapter 1: Cu Basics 2
Leading Exporters and Importers of Semi‐Fabricated Copper
What is Copper? 2
Products, 2009 31
Copper Properties and Benefits 3
The Global Copper Market and the Commodity "Copper" 32
Selected Copper Definitions 4
Copper Stocks, Prices and Usage 33
Copper in History 5
Copper Today 6 Chapter 4: Copper Usage 34
Chapter 2: Copper Production 7 How is Copper Used? 34
How is Copper Produced? 7 World Refined Copper Usage, 1900‐2009 35
Copper Mine Production: World Copper Mine Production, 1900‐2009 8 Refined Copper Usage by Region, 1960, 1980 & 2009 36
Copper Mine Production by Region: 1960, 1980 & 2009 9 World Refined Copper Usage per Capita: 1950‐2009 37
Copper Mine Production by Country: Top 20 Countries in 2009 10 Intensity of Refined Copper Use 38
Top 20 Copper Mines by Capacity, 2010 11 Total Copper Usage, Including Copper Scrap, 2002‐2008 39
Constraints on Copper Supply 12 Major Uses of Copper: Electrical 40
Copper Smelter Production: World Copper Smelter Production 1976‐ Major Uses of Copper: Electronics and Communications 41
2009 13 Major Uses of Copper: Construction 42
Trends in Copper Smelting Capacity, 1995‐2010 14 Major Uses of Copper: Transportation 43
Copper Smelter Production by Region, 1990‐2009 15 Major Uses of Copper: Industrial Machinery and Equiptment 44
Copper Smelter Production by Country: Top 20 Countries in 2009 16 Major Uses of Copper: Consumer and General Products 45
Top 20 Copper Smelters by Capacity, 2010 17 Major Uses of Copper: Usage by End‐Use Sector and Region, 2009 46
Refined Copper Production: World Refined Copper Production, 1960‐
2009 18 Chapter 5: Copper Recycling 47
Trends in Refined Copper Production Capacity, 1995‐2010 19 Copper Recycling Rate Definitions 48
Refined Copper Production by Region, 1990‐2009 20 Global Copper Recyclables Use, 2002‐2008 49
Refined Copper Production by Country: Top 20 Countries in 2009 21 ICSG Global Copper Scrap Research Project 50
Top 20 Copper Refineries by Capacity, 2010 22 The Flow of Copper 51
Semis Production: Copper & Copper Alloy and Casting Production,
1980‐2010 23 ANNEX 53
Copper and Copper Alloy Semis and Casting Production by Region, World Copper Production and Usage, 1960‐2009 53
1980 & 2008 24

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The World Copper Factbook 2010

Copper is one of the most recycled of all metals. It is our ability to


Chapter 1: Cu Basics recycle metals over and over again that makes them a material of
choice. Recycled copper (also known as secondary copper) cannot be
What is Copper? distinguished from primary copper (copper originating from ores),
once reprocessed. Recycling copper extends the efficiency of use of
Copper is a malleable and ductile metallic element that is an excellent
the metal, results in energy savings and contributes to ensuring that
conductor of heat and electricity as well as being corrosion resistant
we have a sustainable source of metal for future generations.
and antimicrobial. Copper occurs naturally in the Earth’s crust in a
variety of forms. It can be found in sulfide deposits (as chalcopyrite, The demand for copper will continue to be met by the discovery of
bornite, chalcocite, covellite), in carbonate deposits (as azurite and new deposits, technological improvements, efficient design, and by
malachite), in silicate deposits (as chrysycolla and dioptase) and as taking advantage of the renewable nature of copper through reuse
pure "native" copper. and recycling. As well, competition between materials, and supply
and demand principles, contribute to ensuring that materials are
Copper also occurs naturally in humans, animals and plants. Organic
used efficiently and effectively.
life forms have evolved in an environment containing copper. As a
nutrient and essential element, copper is vital to maintaining health. Copper is an important contributor to the national economies of
Life sustaining functions depend on copper. mature, newly developed and developing countries. Mining,
processing, recycling and the transformation of metal into a
Copper and copper‐based alloys are used in a variety of applications
multitude of products creates jobs and generates wealth. These
that are necessary for a reasonable standard of living. Its continued
activities contribute to building and maintaining a country's
production and use is essential for society's development. How society
infrastructure, and create trade and investment opportunities.
exploits and uses its resources, while ensuring that tomorrow's needs
Copper will continue to contribute to society’s development well into
are not compromised, is an important factor in ensuring society's
the future.
sustainable development.

Images courtesy of the Copper Development Association.

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The World Copper Factbook 2010
Key Physical Properties of Copper
Copper Properties and Benefits
Chemical Symbol Cu
Atomic Number 29

Atomic Weight 63.54

Density 8960 kg m-3

Melting point 1356 K

Specific Heat cp (at 293 K) 0.383 kJ kg-1 K-1

Thermal conductivity 394 W m-1 K-1

Coefficient of linear expansion 16.5 x 10-6 K-1

Young's Modulus of Elasticity 110 x 109 N m-2

Electrical Conductivity (% IACS) 1.673 x 10-8 ohm-m But copper’s benefits extend beyond mechanical characteristics:
Crystal Structure Face-Centered Cubic • Copper is essential to the health of plants, animal and humans.
Copper makes vital contributions to sustaining and improving society. Deficiencies, as well as excesses, can be detrimental to health.
Copper's chemical, physical and aesthetic properties make it a material • Antimicrobial Properties. Due to copper’s antimicrobial
of choice in a wide range of domestic, industrial and high technology properties, copper and copper alloy products can be used to
applications. eliminate pathogens and reduce the spread of diseases.
• Recycling. Copper is one of the most recycled of all metals.
Alloyed with other metals, such as zinc (to form brass), aluminum or Virtually all products made from copper can be recycled and
tin (to form bronzes), or nickel, for example, it can acquire new recycled copper loses none of its chemical or physical properties.
characteristics for use in highly specialized applications. In fact, • Energy Efficiency. Copper can improve the efficiency of energy
society's infrastructure is based, in part, on copper. production and distribution systems.

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The World Copper Factbook 2010

• Electrowinning. An electrolytic refining process where the anode


Selected Copper Definitions is inert, and rich (copper‐loaded) electrolyte continually replaces
lean (copper‐depleted) electrolyte as copper is plated at the
• Anode. The positive terminal in an electrolytic cell where cathode.
electrons leave a device to enter the external circuit. A copper • Fire‐refined copper. The product of a fire‐refining furnace. It is an
anode at 99 percent purity will dissolve. intermediate, more concentrated (with respect to the desired
• Blister. The product of a converting furnace. It is an intermediate, metal) material than blister, from which it is made. Fire‐refined
more concentrated (with respect to the desired metal) material copper contains about 99 percent copper, the exact percentage
than matte, from which it is made, and is usually transferred to depending on the process parameters.
another furnace for further concentration. • Primary copper. Copper extracted from ores and recovered as
• Cathode. The negative terminal in an electrolytic cell where copper metal or copper‐bearing chemicals.
copper is plated during electrowinning or electrolytic refining. • Secondary refined material. Secondary refined material
Copper so plated is referred to as “cathode” and is generally represents scrap that has been fire‐refined, or that has been
about 99.99 percent pure. converted to anode at the smelter level and then electrolytically
• Contained Copper. Contained copper is defined as the analytical refined.
amount of copper outputted in concentrates and precipitates. • Solvent extraction. A method of separating one or more metals
• Copper concentrate. A product of flotation milling. It composes from a leach solution by treating with a solvent that will extract
sulfide minerals and entrained material and contains one‐third the required metal, leaving the others. The metal is recovered
each copper, iron, and sulfur. It can be processed from the solvent by further treatment.
pyrometallurgically in a smelter to produce matte or • Stocks. ICSG reports refined copper stocks as those held by the
hydrometallurgically (pressure leaching) to produce pregnant exchanges, consumers, producers and governments. Merchant
leach solution, both products requiring further processing to stocks are included where it is certain that these are
obtain copper metal. nonduplicative to those already reported. Only refined products
• Direct melt scrap. Direct melt, or Remelt scrap is secondary at plant sites are included. Items such as wire rod, tube and other
material that can be used directly in a furnace without cleanup semifabricated forms are not included.
through the use of fluxes and poling and re‐refining. • Usage. Copper usage represents refined copper used by
• Electrorefining. An electrolytic refining process where less pure semifabricators. Usage data is either directly reported, or ICSG
copper anode are dissolved, and high‐purity copper is plated at estimates an apparent usage using the following formula: Refined
the cathode. copper production + refined imports ‐ refined exports + refined
beginning stocks ‐ ending stocks.

Sources: ICSG and USGS.

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The World Copper Facctbook 2010
0

Copper
C in History
Archaaeological evidennce demonstrates that copper was one of the firrst metals used by humans andd was used at least 10,000
years ago for items succh as coins and ornaments in western
w Asia. Du
uring the prehistoric Chalcolith
hic Period (derrived from
chalkoss, the Greek worrd for copper), man
m discovered how
h to extract and use copper to
o produce ornam
ments and impleements. As
early ass the 4th to 3rd m
millennium BC, workers extractted copper from Spain's Huelva region.

The disscovery that coppper, when alloyeed with tin, prodduces bronze, le
ed to the Bronze e Age, c. 2,500 BC. Israel's Tim
mna Valley
provideed copper to thee Pharaohs (an Egyptian papyrrus records the use of copper to o treat infection
ns and to steriliize water).
Cyprus supplied much h of the Phoeniccian, Greek and Roman needs for f copper. "Cop pper" is derivedd from the latin Cyprium,
literally
y Cyprian metall. The Greeks off Aristotle's era were
w familiar wiith brass as a va
alued copper allloy. In South Am
merica, the
pre-Columbian Maya, A Aztec and Inca civilizations exp ploited copper, in
i addition to go old and silver. During
D the Mid
ddle Ages,
copper and
a bronze work ks flourished in China, India an nd Japan.

The disscoveries and in


nventions relatin
ng to electricity and magnetism m of the late 18tth and early 19
9th centuries byy scientists
such ass Ampere, Farad day and Ohm, and
a the productss manufactured from copper, he elped launch thee Industrial Re evolution
and proopel copper intoo a new era. Todday, copper con ntinues to serve society's needs. Although copp per has been in use for at
least 10
0,000 years, innovative applicattions for copper are still being developed
d as eviidenced by the development
d of tthe copper
chip by the semi-conductors industry.

Images courtesy of
o the British Museu
um, the Copper Development Association and ICSG.

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The World Copper Factbook 2010

Copper Today
The global demand for copper continues to grow: world refined usage has surged by around 300% in the last 50 years thanks to expanding sectors
such as electrical and electronic products, building construction, industrial machinery and equipment, transportation equipment, and consumer and
general products. Some of the highlights of 2009 copper production and usage are listed below. In the chapters that follow, more in‐depth
information is presented on copper production, trade, usage and recycling. For the most up‐to‐date information on the global copper market,
please visit our website at www.icsg.org.
Copper Production Highlights Copper Usage Highlights
Preliminary figures indicate that global Refined copper usage (usage by semis plants or the
copper mine production in 2009 reached first users of copper) in 2009 reached nearly 18.2
over 15.7 million tonnes. The largest million tonnes. China was also the largest consumer
producer of mined copper was Chile of refined copper in 2009 with apparent usage of
(nearly 5.4 million tonnes). over 7 million tonnes.

According to the International Copper Association


Smelter production in 2009 reached over (ICA), usage of copper in end‐use products totaled
14.5 million tonnes. China was the largest over 22 million tonnes last year. ICA figures indicate
producer of blister & anode in 2009 (over that electrical power was the largest copper end‐
3.4 million tonnes) use sector last year, followed by industrial use,
power utility, and consumer and general products.

Refinery Production in 2009 increased to New copper applications being developed include
antimicrobial copper touch surfaces, lead‐free brass
nearly 18.4 million tonnes, including 2.9
plumbing, high tech copper wire, heat exchangers,
million tonnes of secondary refined
and new consumer products as well.
production.

Images courtesy of CDA and Luis Hernán Herreros from www.visnu.cl, © Copyright Anglo American (Faena Los Bronces y Mantos Blancos – Chile).

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The World Copper Factbook 2010

The output of electro‐refining is refined copper cathodes, assaying over


Chapter 2: Copper Production 99.99% of copper.

How is Copper Produced? Alternatively, in the hydrometallurgical route, copper is extracted from
mainly low grade oxide ores and also some sulphide ores, through
Geologists look for signs and/or anomalies that would indicate the leaching (solvent extraction) and electrowinning (SX‐EW process). The
presence of a mineral deposit. Under the right geological, economic, output is the same as through the electro‐refining route ‐ refined copper
environmental and legal conditions, mining can proceed. cathodes. ICSG estimates that in 2009, refined copper production from
SX‐EW represented 18% of total copper refined production.
Primary copper production starts with the extraction of copper‐bearing
ores. There are three basic ways of copper mining: surface, underground Refined copper production derived from mine production (either from
mining and leaching. Open‐pit mining is the predominant mining method metallurgical treatment of concentrates or SX‐EW) is referred to as
in the world. “primary copper production”, as obtainable from a primary raw material
source. However, there is another important source of raw material which
After the ore has been mined, it is crushed and ground followed by a
is scrap. Copper scrap derives from either metals discarded in semis
concentration by flotation. The obtained copper concentrates typically
fabrication or finished product manufacturing processes (“new scrap”) or
contain around 30% of copper, but grades can range from 20 to 40 per
obsolete end‐of‐life products (“old scrap”). Refined copper production
cent. In the following smelting process, sometimes preceded by a roasting
attributable to recycled scrap feed is classified as “secondary copper
step, copper is transformed into a “matte” containing 50‐70% copper. The
production”. Secondary producers use processes similar to those
molten matte is processed in a converter resulting in a so‐called blister
employed for primary production. ICSG estimates that in 2009, at the
copper of 98.5‐99.5% copper content. In the next step, the blister copper
refinery level, secondary copper refined production reached around 16%
is fire refined in the traditional process route, or, increasingly, re‐melted
of total copper refined production.
and cast into anodes for electro‐refining.

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The World Copper Factbook 2010

Copper Mine Production


World Copper Mine Production, 1900‐2009
(thousand metric tonnes)
Source: ICSG
16,000
15,000
14,000
13,000
12,000
11,000
10,000
9,000
8,000
7,000
6,000
5,000
4,000
3,000
2,000
1,000
0
19 0
19 4
19 8
19 2
19 6
19 0
19 4
19 8
19 2
19 6
19 0
19 4
19 8
19 2
19 6
19 0
19 4
19 8
19 2
19 6
19 0
19 4
19 8
19 2
20 6
20 0
20 4
08
0
0
0
1
1
2
2
2
3
3
4
4
4
5
5
6
6
6
7
7
8
8
8
9
9
0
0
19

Concentrates SX-EW

Since 1900, when world production was less than 500 thousand tonnes , world copper mine production has grown by around 4% per year to reach
nearly 16 million tonnes in 2009. SX‐EW production, virtually non‐existent before the 1960’s, reached nearly 3.3 million tonnes in 2009.

International Copper Study Group 8


The World Copper Factbook 2010

Copper Mine Production by Region, 1960, 1980 & 2009p


(Thousand metric tonnes)
Source: ICSG

8000
Thousand Metric Tonnes Copper

7000

6000

5000
1960
4000 1980
2009p
3000

2000

1000

0
Africa Asia Europe Latin North Oceania
America America

From less than 750 thousand tonnes in 1960, copper mine production
in Latin America surged to just over 7 million tonnes last year.

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The World Copper Factbook 2010

Copper Mine Production by Country: Top 20 Countries in 2009p


(Thousand metric tonnes)
Source: ICSG

Chile
Peru
United States
China
Indonesia
Australia
Russian Fed.
Zambia
Canada
Poland
Kazakhstan
Congo
Iran
Mexico
Brazil
Papua New Guinea
Argentina
Mongolia
Laos
South Africa

0 1,000 2,000 3,000 4,000 5,000 6,000

Chile accounted for over one‐third of world copper mine production


in 2009 with mine output of nearly 5.4 million tonnes.

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The World Copper Factbook 2010

Top 20 Copper Mines by Capacity, 2010


Thousand metric tonnes
Source: ICSG
Rank Mine Country Owner(s) Source Capacity
1 Escondida Chile BHP Billiton (57.5%), Rio Tinto Corp. (30%), Japan Escondida (12.5%) Concs & SX-EW 1,300
Codelco Norte
2 (includes Chuquicamata, Radomiro Chile Codelco Concs & SX-EW 920
Tomic, Mina Ministro Hales project)

3 Grasberg Indonesia P.T. Freeport Indonesia Co. (PT-FI), Rio Tinto Concentrates 780

4 Collahuasi Chile Anglo American (44%), Xstrata plc (44%), Mitsui + Nippon (12%) Concs & SX-EW 520

5 El Teniente Chile Codelco Chile Concs & SX-EW 454


Taimyr Peninsula (Norilsk/ Talnakh
6 Russia Norilsk Nickel Concentrates 430
Mills)
7 Antamina Peru BHP Billiton (33.75%), Teck (22.5%), Xstrata plc (33.75%), Mitsubishi (10%) concentrates 400

7 Los Pelambres Chile Antofagasta Plc (60%), Nippon Mining (25%), Mitsubishi Materials (15%) concentrates 400

9 Morenci United States Freeport-McMoRan Copper & Gold Inc./Sumitomo Concs & SX-EW 390
10 Bingham Canyon United States Kennecott (Rio Tinto) Concentrates 280
PT Pukuafu 20%, Newmont 41.5%, Sumitomo Corp., Sumitomo Metal Mining &
10 Batu Hijau Indonesia Concentrates 280
Mitsubishi Materials 31.5%, PT Multi Daerah Bersaing 7%
10 Andina Chile Codelco Chile concentrates 280
13 Kansanshi Zambia First Quantum Minerals Ltd (80%), ZCCM (20%) Concs & SX-EW 270

14 Los Bronces Chile Anglo American (100%) Concs & SX-EW 241
15 Zhezkazgan Complex Kazakhstan Kazakhmys (Samsung) concentrates 230
16 Olympic Dam Australia BHP Billiton Concs & SX-EW 225
17 Rudna Poland KGHM Polska Miedz S.A. concentrates 220
18 Sarcheshmeh Iran National Iranian Copper Industry Co. Concs & SX-EW 204
19 Spence Chile BHP Billiton SX-EW 200
20 La Caridad Mexico Mexicana de Cobre S. A. (Grupo Mexico) Concs & SX-EW 195

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The World Copper Factbook 2010

• Energy: coal is the fuel chosen to power main copper mines


Constraints on Copper Supply and processes… climate change may increase costs.
With copper concentrate in strong demand, there has been growing • Shipping costs: not an issue for copper... for now
interest in understanding the obstacles that can prevent copper mine
supply from coming on‐stream. During 2008‐2009, the ICSG Secretariat • Sulphuric acid supply and price: 16% cost factor for SX‐EW
conducted a project on Constraints on New Copper Supply Coming On projects
Stream, with the final project report completed in October 2009. Below
are some of the operational and financial constraints identified from the • Skilled labor: open labor markets would help address this
study. For more information about ICSG research related to constraints on constraint
copper supply, please contact the ICSG Secretariat at mail@icsg.org
• Labor strikes: tend to increase when refined prices are high and
• Falling Ore Grades: a serious issue in developed copper areas GDP is growing faster, but tend to be longer and less frequent
such as the USA and Chile in cool economic times and also when copper prices are down

• Project finance: cost of capital is a central factor. High interest • High domestic costs if there is “dutch disease” (resulting in
rates may reduce supply significantly higher exchange rates due in part to strong exports)

• Capital cost overruns: in the past. underestimations of US • Rate between imported inputs and domestic input costs
dollar inflation was source of many cost overruns affected by the currency strength of the producer

• Tax & investment regimes: recent research indicates these are • Market power/concentration: risks have moved to the import
less important than geological endowments demand side versus export supply side in recent years

• Water supply: a critical issue in dry mining districts • Peace and security is also a key factor

International Copper Study Group 12


The World Copper Factbook 2010

Copper Smelter Production


World Copper Smelter Production, 1976-2009p
Thousand metric tonnes
Source: ICSG
15,000

12,500

10,000

7,500

5,000
1976 1979 1982 1985 1988 1991 1994 1997 2000 2003 2006 2009

Primary Feed Secondary Feed


Smelting is the pyrometallurgical process used to produce copper metal. In 2009, world copper smelter production reached 14.5
million tonnes. Recently, the trend to recover copper directly from ores through leaching processes has been on the increase.
Primary smelters use mine concentrates as their main source of feed (although some use copper scrap as well). Secondary copper
smelters use copper scrap as their feed.

International Copper Study Group 13


The World Copper Factbook 2010

Trends in Copper Smelting Capacity, 1995‐2010


Thousand metric tonnes
Source: ICSG
20,000

18,000

16,000

14,000
Thousand tonnes copper

12,000

10,000

8,000

6,000

4,000

2,000

-
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Flash/Continuous Reverb/Blast/Rotary Electric Modified Reverb/Convert Low Grade EW

International Copper Study Group 14


The World Copper Factbook 2010

Copper Smelter Production by Region, 1990-2009p


Thousand metric tonnes
Source: ICSG
8,000
7,000
6,000
5,000
4,000
3,000
2,000
1,000
0
90

91

92

93

94

94

95

96

97

98

99

00
01

02
03

04
05

06
07

08
09
19

19

19

19

19

19

19

19

19

19

19

20

20

20

20

20
20

20
20

20
20
Africa America Asia Europe Oceania

Asia’s share of world copper smelter output jumped from 27% in 1990 to
52% in 2009 as smelter production in China expanded rapidly.

International Copper Study Group 15


The World Copper Factbook 2010

Copper Smelter Production by Country: Top 20 Countries in 2009p


Thousand metric tonnes
Source: ICSG

China
Japan
Chile
Russian Fed.
India
United States
Germany
Korean Rep.
Poland
Australia
Kazakhstan
Canada
Peru
Zambia
Indonesia
Bulgaria
Spain
Iran
Philippines
Brazil

0 500 1,000 1,500 2,000 2,500 3,000 3,500

In 2009, China accounted for around 24% of world copper smelter output,
followed by Japan (11%), Chile (10%) and the Russian Federation (5%).

International Copper Study Group 16


The World Copper Factbook 2010

Top 20 Copper Smelters by Capacity, 2010


Thousand metric tonnes
Source: ICSG

Rank Smelter Country Operator/Owner(s) Process Capacity

1 Guixi (smelter) China Jiangxi Copper Corp. Outokumpu Flash 900


2 Birla Copper (Dahej) India Birla Group Outokumpu Flash, Ausmelt, Mitsubishi Continuous 500
3 Codelco Norte (smelter) Chile Codelco Outokumpu/ Teniente Converter 460
4 Saganoseki/ Ooita (smelter) Japan Pan Pacific Copper Co. Ltd Outokumpu Flash 450
4 Hamburg Germany Aurubis Outokumpu, Contimelt, Electric 450
4 Besshi/ Ehime (Toyo) Japan Sumitomo Metal Mining Co. Ltd. Outokumpu Flash 450
7 Norilsk (Nikelevy, Medny) Russia Norilsk G-M Reverb, Electric, Vanyukov 400
7 Jinchuan (smelter) China Jinchuan Non- Ferrous Metal Co. Reverberatory/ Kaldo Conv. 400
7 El Teniente (Caletones) Chile Codelco Chile Reverberatory/ Teniente Conv. 400
10 Altonorte (La Negra) Chile Xstrata plc Noranda Continuous 390
11 Sterlite Smelter (Tuticorin) India Vedanta Isasmelt Process 380
12 Ilo Smelter Peru Southern Copper Corp. (Grupo Mexico 75.1%) Isasmelt Process 360
13 Yunnan China Yunnan Copper Industry Group (Local Government) Isasmelt Process 350
14 Onsan II Korean Republic LS-Nikko Co. (LS, Nippon Mining) Mitsubishi Continuous 340
Mitsubishi Materials Corp. (49.29%), Dowa Metals &
15 Onahama/ Fukushima Japan Mining Co. Ltd.(31.15%), Furukawa Metals & Resources Reverberatory 322
Co. Ltd. (12.67%)
16 Huelva Spain Atlantic Copper S.A. (Freeport McMoran) Outokumpu Flash 320
16 Garfield (smelter) United States Kennecott (Rio Tinto) Kennecott/ Outokumpu 320
18 Naoshima/ Kagawa (smelter) Japan Mitsubishi Materials Corp. Mitsubishi Continuous 306
19 Mount Isa (smelter) Australia Xstrata plc Isasmelt Process 300
19 La Caridad (smelter) Mexico Mexicana de Cobre S. A. (Grupo Mexico) Outokumpu/ Teniente Converter 300
19 Onsan I Korean Republic LS-Nikko Co. (LS, Nippon Mining) Outokumpu Flash 300

19 Gresik Indonesia Mitsubishi (75%), Freeport (25%) Mitsubishi Flash 300

International Copper Study Group 17


The World Copper Factbook 2010

Refined Copper Production


World Refined Copper Production, 1960‐2009p
Thousand metric tonnes
Source: ICSG
20,000

17,500

15,000

12,500

10,000

7,500

5,000

2,500

0
1960 1964 1968 1972 1976 1980 1984 1988 1992 1996 2000 2004 2008

Refinery Primary Refinery Secondary Refinery SX-EW


With the emergence of solvent extraction-electrowinning (SX-EW) technology, refined copper produced from leaching ores has
been on the rise, increasing from less than 1% of world refined copper production in the late 1960’s to 18% of world output in 2009.

International Copper Study Group 18


The World Copper Factbook 2010

Trends in Refined Capacity, 1995-2010


Thousand metric tonnes
Source: ICSG
28,000
26,000
24,000
22,000
20,000
Thousand tonnes copper

18,000
16,000
14,000
12,000
10,000
8,000
6,000
4,000
2,000
-
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Electrolytic Electrowinning Fire Refining

This chart shows world copper refinery capacity by refining process. The ratio between production and capacity is called the
capacity utilization rate. At around 78% in 2009, the world refinery capacity utilization rate was lower than in recent years.

International Copper Study Group 19


The World Copper Factbook 2010

Refined Copper Production by Region, 1990‐2009p


Thousand metric tonnes
Source: ICSG
9,000
8,000
7,000
6,000
5,000
4,000
3,000
2,000
1,000
0
90

91

92

93

94

95

96

97

98

99

00

01

02

03

04

05

06

07

08

09
19

19

19

19

19

19

19

19

19

19

20

20

20

20

20

20

20

20

20

20
Africa America Asia Europe Oceania
Region with the highest output of refined copper in 1990: the Americas (4,250 kt), followed by Europe (3,004 kt)
Leading region in the world in 2009: Asia (8,050 kt)

International Copper Study Group 20


The World Copper Factbook 2010

Refined Copper Production by Country: Top 20 Countries in 2009p


Thousand metric tonnes
Source: ICSG

China
Chile
Japan
United States
Russian Fed.
India
Germany
Korean Rep.
Poland
Australia
Peru
Zambia
Belgium
Kazakhstan
Canada
Spain
Indonesia
Mexico
Brazil
Iran

0 500 1,000 1,500 2,000 2,500 3,000 3,500 4,000 4,500

International Copper Study Group 21


The World Copper Factbook 2010

Top 20 Copper Refineries by Capacity, 2010


Thousand metric tonnes
Source: ICSG
Rank Refinery Country Owner(s) Process Capacity
1 Guixi China Jiangxi Copper Corporation Electrolytic 900
2 Yunnan Copper China Yunnan Copper Industry Group (64.8%) Electrolytic 500
2 Birla India Birla Group Hidalco Electrolytic 500
4 Chuquicamata Refinery Chile Codelco Electrolytic 490
5 Codelco Norte (SX-EW) Chile Codelco Electrowinning 470
6 Toyo/Niihama (Besshi) Japan Sumitomo Metal Mining Co. Ltd. Electrolytic 450
6 Amarillo United States Grupo Mexico Electrolytic 450
8 El Paso (refinery) United States Freeport-McMoRan Copper & Gold Inc. Electrolytic 415
9 Jinchuan China Jinchuan Non Ferrous Co. Electrolytic 400
9 Las Ventanas Chile Codelco Electrolytic 400
11 Hamburg (refinery) Germany Aurubis Electrolytic 395
12 Sterlite Refinery India Vedanta Electrolytic 380
12 Pyshma Refinery Russia Uralelectromed (Urals Mining & Metallurgical Co.) Electrolytic 380
12 CCR Refinery (Montreal) Canada Xstrata plc Electrolytic 380
15 Ilo Copper Refinery Peru Southern Copper Corp. Electrolytic 360
Tongling NonFerrous Metal Corp. 52 %, Sharpline International 13%,
16 Jinlong (Tongdu) (refinery) China Electrolytic 350
Sumitomo Corp. 7.5%, Itochu Corp. 7.5%
16 Morenci (SX-EW) United States Freeport-McMoRan Copper & Gold Inc./Sumitomo Electrowinning 350
16 Escondida (SX-EW) Chile BHP Billiton (57.5%), Rio Tinto Corp. (30%), Japan Escondida (12.5%) Electrowinning 350
19 Olen Belgium Aurubis Electrolytic 345
20 Onsan Refinery I Korean Republic LS-Nikko Co. (LS, Nippon Mining) Electrolytic 330
20 Norilsk Refinery Russia Norilsk Copper Electrolytic 330

International Copper Study Group 22


The World Copper Factbook 2010

Semis Production
Copper and Copper Alloy and Casting Production, 1980‐2008
Thousand metric tonnes
Source: ICSG

27,000

24,000

21,000

18,000

15,000

12,000

9,000

6,000

3,000

0
1980 1984 1988 1992 1996 2000 2004 2008
Copper Semis Copper Alloy Semis Other Semis Foundry Castings
Semis fabricators process refinery shapes such as cathodes, wire bar, ingot, billet slab and cake into semi‐finished copper and copper alloy
products using both unwrought copper materials and direct melt scrap as raw material feed. Semis fabricators are considered to be the “first
users” of refined copper and include ingot makers, master alloy plants, wire rod plants, brass mills, alloy wire mills, foundries and foil mills.

International Copper Study Group 23


The World Copper Factbook 2010

Copper and Copper Alloy Semis and Casting Production by Region, 1980 & 2008
Thousand metric tonnes
Source: ICSG

14,000

12,000

10,000

8,000
1980
2008
6,000

4,000

2,000

0
Africa Asia Europe North America Oceania South America

Asia accounted for 58% of semis production in 2008, or more than 13.4 million metric tonnes, up from 22% in 1980.

International Copper Study Group 24


The World Copper Factbook 2010

Copper & Copper Alloy Semis Capacity by Region & Product

Semis Production Capacity by Region, 2010 (%) Semis Production Capacity by Product, 2010 (%)
Source: ICSG Source: ICSG
Middle Powder 0.4%
Africa Foil 1.1%
East Castings 0.4%
Russian Fed. 1%
5%
& Central Asia

Ingot
5%+
Cu Alloy

s 3%
Wire
Mainland China 6%
30%
South Asia
& Oceania
Cu & Cu Alloy Tubes
9% 13%

North Asia WireRod


(ex-China) 49%
14%
Rods, Bars and
Sections (RBS)
13%+

EU27, Norway
Americas & Switzerland
14% 22% Plate, Sheet &
Strips (PSS)
15%

In 2010, China accounted for the largest share of Wire rod plants are estimated to have accounted
world semis capacity production (30%) and the for just under half of all first use capacity in 2010,
largest number of semis plants (498). or nearly 19.6 Mt.

International Copper Study Group 25


The World Copper Factbook 2010

Copper and Copper Alloy Semis Production Capacity by Country:


Top 20 Countries, 2010
Thousand metric tonnes
Source: ICSG
China
United States
Germany
Japan
Korean Rep.
Italy
India
Taiwan (China)
Russian
Turkey
Rest of World
France
Brazil
Belgium
Spain
Thailand
Indonesia
Mexico
Poland
Iran

0 2,000 4,000 6,000 8,000 10,000 12,000 14,000

International Copper Study Group 26


The World Copper Facctbook 2010
0

Chapter
C 3: Copp
per Trade
e World Copp
per Exports by Pro
Thousand metric
m
oduct Category, 20
009p
tonnes copper (unless otherwise note
ed)
Copper
C products across
a the value cchain are traded internationally.
i O
Often, Source: ICSSG

co
ountries where upstream cop pper production n capacity excceeds
Concentrates
downstream production capacity w will import the raw
w materials needeed to
meet
m their producction needs, and vvice versa. Major product categoriies of
Blister & Anode
co
opper traded inteernationally includ
de:

• Copper concentrates Refined Copper

• Copper blister and anode


C
Copper Scrap /1
• Copper catthode and ingots
• Copper scrrap and Copperr & Copper Alloy
Semis /1
• Copper semmis
0 1,0
000 2,000 3,000 4,0
000 5,000 6,000 7,000 8,000 9,000
Copper
C powders and
a compounds aare also traded glo obally, but typicaally in
much
m smaller quaantities. In additiional, copper is contained in end d‐use World Copp
per Imports by Pro
oduct Category, 2009p
2
products that aree traded globallly including auto omobiles, appliances, Thousand metric
m tonnes copper (unless otherwise notted)
CSG
Source: IC
electronic equipmment and other prroducts. Changes in trade regulattions,
uch as import du
su uties or export quuotas, can have significant
s impactts on
Concentrates
th
he international trade of coppeer. For more infformation aboutt the
in
nternational tradee of copper and changes in regulations that can affect
a
B
Blister & Anode
he trade of coppeer, please contact the ICSG Secretariat at mail@icsg..org1
th
R
Refined Copper

C
Copper Scrap /1

Copper & Copper Alloy


S
Semis /1
Image courtesy of the Copper Development Association.
0 1,0
000 2,000 3,000 4
4,000 5,000 6,000 7,000 8,000 9,000
1
Gross metal weightt.

In
nternational Cop
pper Study Group
p 2
27
The World Copper Factbook 2010

Major International Trade Flows of Copper


Ores and Concentrates1

Major Exporters of Major Importers of


Copper Ores and Copper Ores and
Concentrates, 2009 Concentrates, 2009

1. Chile 1. China
2. Peru 2. Japan
3. Indonesia 3. India
4. Australia 4. Korean Rep.
5. Canada 5. Germany
6. Brazil 6. Spain
7. Kazakhstan 7. Philippines
8. USA 8. Bulgaria
9. Argentina 9. Brazil
10. Mongolia 10. Sweden

1
Figure is intended to illustrate trade flows but not actual trade routes.

International Copper Study Group 28


The World Copper Factbook 2010

Major International Trade of Copper Blister


and Anode1

Major Exporters of Major Importers of


Copper Blister and Copper Blister and
Anode, 2009 Anode, 2009

1. Chile 1. Belgium
2. Bulgaria 2. China
3. Canada 3. United States
4. Netherlands 4. Canada
5. Spain 5. Mexico
6. Turkey 6. Netherlands
7. Slovakia 7. Korean Rep.
8. Finland 8. Australia
9. USA 9. Austria
10. Philippines 10. Turkey

1
Figure is intended to illustrate trade flows but not actual trade routes.

International Copper Study Group 29


The World Copper Factbook 2010

Major International Trade Flows of Refined


Copper1

Major Exporters of Major Importers of


Refined Copper, Refined Copper,
2009 2009

1. Chile 1. China
2. Zambia 2. USA
3. Japan 3. Germany
4. Russia 4. Italy
5. Peru 5. Taiwan
6. Australia 6. Korean Rep.
7. Kazakhstan 7. Turkey
8. Poland 8. France
9. Belgium 9. Netherlands
10. Netherlands 10. Thailand

1
Figure is intended to illustrate trade flows but not actual trade routes.

International Copper Study Group 30


The World Copper Factbook 2010

Leading Exporters and Importers of Semi‐Fabricated Copper Products, 2009


Thousand metric tonnes, Source: ICSG

1,200
Exporters
1,000

800

600

400

200

0
Ge Ch Ko T F I Ho U R B J S S C P O
rm i rea aiwa ranc taly ng nite ussi elgiu apan pain wed anad olan ther
an na n R n e Ko dS an m en a d s
y ng tat
ep
. es Fed.
1,600
Importers
1,400

1,200

1,000

800

600

400

200

0
Ch U I Ho G F U M C A S S T K S O
ina nited taly ng erm ranc nited exic zech ustr pain witz haila orea inga ther
Sta Ko any e Ki n o Re i a erl nd n R por s
te s ng gd p. a nd e p. e
om

International Copper Study Group 31


The World Copper Factbook 2010

Exchanges also provide for the trading of futures and options contracts.
The Global Copper Market and the These allow producers and consumers to fix a price in the future, thus
Commodity “Copper” providing a hedge against price variations. In this process the participation
of speculators, who are ready to buy the risk of price variation in
Copper, as any other good or merchandise, is traded between producers exchange for monetary reward, gives liquidity to the market. A futures or
and consumers. Producers sell their present or future production to options contract defines the quality of the product, the size of the lot,
clients, who transform the metal into shapes or alloys, so that delivery dates, delivery warehouses and other aspects related to the
downstream fabricators can transform these into different end‐use trading process. Contracts are unique for each exchange. The existence of
products. One of the most important factors in trading a commodity such futures contracts also allows producers and their clients to agree on
as copper is the settlement price for the present day (spot price) or for different price settling schemes to accommodate different interests.
future days.
Exchanges also provide for warehousing facilities that enable market
Exchanges participants to make or take physical delivery of copper in accordance
with each exchange's criteria.
The role of a commodity exchange is to facilitate and make transparent
the process of settling prices. Three commodity exchanges provide the Average Annual Copper Prices (LME, Grade A, Cash), 1960‐2009
US$ per tonne
facilities to trade copper: The London Metal Exchange (LME), the Source: ICSG
8,000
Commodity Exchange Division of the New York Mercantile Exchange
7,000
(COMEX/NYMEX) and the Shanghai Metal Exchange (SHME). In these
6,000
exchanges, prices are settled by bid and offer, reflecting the market's
5,000
perception of supply and demand of a commodity on a particular day. On
4,000
the LME, copper is traded in 25 tonne lots and quoted in US dollars per
3,000
tonne; on COMEX, copper is traded in lots of 25,000 pounds and quoted
2,000
in US cents per pound; and on the SHME, copper is traded in lots of 5 1,000
tonnes and quoted in Renminbi per tonne. More recently, mini contracts 0
of smaller lots sizes have been introduced at the exchanges.
0

8
6

0
19

19

19

19

19

19

19

19

19

19

19

19

19

19

20

20

20
Current $ Constant 2005 $

International Copper Study Group 32


The World Copper Factbook 2010
Copper Stocks, Prices and Usage
Thousand metric tonnes and US cents/pound
Source: ICSG
3,000 400
2,925 390
2,850 380
2,775 370
2,700 360
2,625 350
2,550 340
2,475 330
2,400 320
2,325 310
2,250 300
2,175 290
Thousand metric tonnes, copper

2,100 280
2,025 270

Price LME (US cents/pound)


1,950 260
1,875 250
1,800 240
1,725 230
1,650 220
1,575 210
1,500 200
1,425 190
1,350 180
1,275 170
1,200 160
1,125 150
1,050 140
975 130
900 120
825 110
750 100
675 90
600 80
525 70
450 60
375 50
300 40
225 30
150 20
75 10
0 0
Jan Jul 00 Jan Jul 01 Jan Jul 02 Jan Jul 03 Jan Jul 04 Jan Jul 05 Jan Jul 06 Jan Jul-07 Jan Jul-08 Jan Jul-09 Jan-
00 01 02 03 04 05 06 07 08 09 10
Exchanges Producers
Merchants Consumers
Price LME (UScents/pound) 3 mth moving average copper usage seasonally adjusted

International Copper Study Group 33


The World Copper Factbook 2010

Chapter 4: Copper Usage


How Is Copper Used?
Copper is shipped to fabricators mainly as cathode, wire rod, billet, cake (slab) or ingot. Through extrusion, drawing, rolling, forging,
melting, electrolysis or atomization, fabricators form wire, rod, tube, sheet, plate, strip, castings, powder and other shapes. The fabricators
of these shapes are called the first users of copper. The total use of copper includes copper scrap that is directly melted by the first users of
copper to produce copper semis.

Copper and copper alloy semis can be further transformed by downstream industries for use in end use products such as automobiles,
appliances, electronics, and a whole range of other copper‐dependent products in order to meet society’s needs. This section provides a
range of information about refined copper usage, total use, major uses of copper and end‐use.

For the most up‐to‐date information on refined copper usage, please visit the ICSG website at www.icsg.org

International Copper Study Group 34


The World Copper Factbook 2010

World Refined Copper Usage, 1900‐2009p


Thousand metric tonnes
Source: ICSG

20,000

17,500

15,000

12,500

10,000

7,500

5,000

2,500

0
00
04
08
12
16
20
24
28
32
36
40
44
48
52
56
60
64
68
72
76
80
84
88
92
96
00
04
08
19
19
19
19
19
19
19
19
19
19
19
19
19
19
19
19
19
19
19
19
19
19
19
19
19
20
20
20
Since 1900, demand for refined copper increased from less than 500 thousand tonnes to over 18
million metric tonnes in 2009 as demand over the period grew by an average of 4% per year.

International Copper Study Group 35


The World Copper Factbook 2010

Refined Copper Usage by Region, 1960, 1980 & 2009p


Thousand metric tonnes
Source: ICSG
Thousand Metric Tonnes Copper
12,000

10,000

8,000

6,000

4,000

2,000

0
1960 1980 2009p

Africa America Asia Europe Oceania

Growth in refined copper usage has been especially strong in Asia, where demand has
expanded more than five fold in less than 30 years.

International Copper Study Group 36


The World Copper Factbook 2010
World Refined Copper Usage* per Capita: 1950‐2009p
Sources: ICSG and US Census Bureau

8,000,000,000 3.0

7,000,000,000
2.5

6,000,000,000

2.0
5,000,000,000

kg per person
population

4,000,000,000 1.5

3,000,000,000
1.0

2,000,000,000

0.5
1,000,000,000

0 0.0
1950 1955 1960 1965 1970 1975 1980 1985 1990 1995 2000 2005

World Population Refined Copper Usage per Capita

*Refined copper is consumed by semis fabricators or the “first users” of refined copper, including ingot makers,
master alloy plants, wire rod plants, brass mills, alloy wire mills, foundries and foil mills. As a result, per capita
consumption of refined copper refers to the amount of copper consumed by industry divided by the total population
and does not represent consumption of copper in finished products per person.

International Copper Study Group 37


The World Copper Factbook 2010

25
Intensity of Refined Copper Use*
Sources: ICSG and International Monetary Fund
Belgium
Refined Copper Usage per Capita (kg/person) Taiwan (China)

20

Korean Rep.

United Arab Emirates

15
Germany

10
Italy
Saudi Arabia Spain
Japan
Chile EU-27 Australia
China Poland
5 France USA
Turkey
Canada
Egypt Mexico Russian Fed.
Peru
Brazil Portugal
India
0
0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000 50,000

GDP per Capita (2009 US$/person)


*Refined copper is consumed by semis fabricators or the “first users” of refined copper, including ingot makers, master alloy plants, wire rod plants,
brass mills, alloy wire mills, foundries and foil mills. As a result, per capita consumption of refined copper refers to the amount of copper consumed
by industry divided by the total population and does not represent consumption of copper in finished products per person.

International Copper Study Group 38


The World Copper Factbook 2010

Total Copper Usage, Including Copper Scrap, 2002‐2008


Thousand metric tonnes
Source: ICSG
25,000

TOTAL SCRAP

TOTAL SCRAP
TOTAL SCRAP
TOTAL SCRAP

TOTAL SCRAP
20,000

TOTAL SCRAP
TOTAL SCRAP

15,000

PRIMARY REFINED

PRIMARY REFINED
PRIMARY REFINED

PRIMARY REFINED

PRIMARY REFINED
PRIMARY REFINED
PRIMARY REFINED

10,000

5,000

0
2002 2003 2004 2005 2006 2007 2008

International Copper Study Group 39


The World Copper Factbook 2010

Major Uses of Copper: Electrical sources such as solar, wind, geothermal, fuel cells and other
technologies are all heavily reliant on copper due to its excellent
Copper is the best non‐ conductivity.
precious metal conductor of
ICSG, in partnership with the Common Fund for Commodities,
electricity as it encounters
the International Copper Association and the International
much less resistance
Copper Promotion Council (India), is supervising the Transfer of
compared with other
Technology for High Pressure Copper Die Casting in India project.
commonly used metals. It sets
The project is designed to facilitate the transfer of technology
the standard to which other
related to the manufacture of rotors, motors and motor systems
conductors are compared.
using more energy efficient high pressure copper die castings.
Copper is also used in power cables, either insulated or
uninsulated, for high, medium and low voltage applications.

In addition, copper's exceptional strength, ductility and resistance


to creeping and corrosion makes it the preferred and safest
conductor for commercial and residential building wiring.

Copper is an essential
component of energy
efficient generators,
motors, transformers
and renewable energy
production systems.
Renewable energy
Images courtesy of the Copper Development Association.

International Copper Study Group 40


The World Copper Factbook 2010

Major Uses of Copper: Electronics and


Communications
Copper plays a key role in Semiconductor manufacturers
worldwide information and have launched a revolutionary
communications technologies. "copper chip." By using copper
HDSL (High Digital Subscriber for circuitry in silicon chips,
Line) and ADSL (Asymmetrical microprocessors are able to
Digital Subscriber Line) operate at higher speeds, using
technology allows for high‐speed less energy. Copper heat sinks
data transmission, including help remove heat from transistors and keep computer
internet service, through the
processors operating at peak efficiency. Copper is also
existing copper infrastructure of ordinary telephone wire.
used extensively in other electronic equipment in the
form of wires, transformers, connectors and switches.
Copper and copper alloy products are used in domestic
subscriber lines, wide and local area networks, mobile
phones and personal computers.

Images courtesy of the Copper Development Association and European Copper Institute.

International Copper Study Group 41


The World Copper Factbook 2010

Major Uses of Copper: Construction


Copper and brass are the The use of copper
materials of choice for doorknobs and plates
plumbing, taps, valves and exploits copper's
fittings. Thanks in part to its biostatic properties to
aesthetic appeal, copper help prevent the transfer of disease and microbes.
and its alloys, such as
architectural bronze, is Copper roofing, in addition
used in a variety of settings to being attractive, is well
to build facades, canopies, known for its resistance to
doors and window frames. extreme weather
conditions. Major public
Unlike plastic tubing,
buildings, commercial
copper does not burn, melt
buildings and homes use
or release noxious or toxic
copper for their rainwater
fumes in the event of a fire. Copper tubes also help
goods and roofing needs.
protect water systems from potentially lethal bacteria
The telltale green patina
such as legionella. Copper fire sprinkler systems are a
finish, that gives copper the classic look of warmth and
valuable safety feature in buildings.
richness, is the result of natural weathering.

Images courtesy of the Copper Development Association and the International Copper Association.

International Copper Study Group 42


The World Copper Factbook 2010

Major Uses of Copper: Transportation


Electric and hybrid vehicles can contain even higher
All major forms of transportation depend on copper to
levels of copper. Copper's superior thermal conductivity,
perform critical functions.
strength, corrosion resistance and recyclability make it
ideal for automotive and truck radiators. New
Copper‐nickel alloys are used on the
manufacturing technologies, processes and innovative
hulls of boats and ships to reduce
designs are resulting in lighter, smaller and more
marine biofouling, thereby reducing
efficient radiators.
drag and improving fuel consumption.

Copper is also used extensively in new generation


Automobiles and trucks rely on copper
airplanes and trains. New high‐speed trains can use
motors, wiring, radiators, connectors, brakes and
anywhere from 2 to 4 tonnes of copper, significantly
bearings. Today, the average mid‐size automobile
higher than the 1 to 2 tonnes used in traditional electric
contains about 22.5 kg (50 lbs) of copper, while luxury
trains.
cars on average contain around 1,500 copper wires
totaling about 1.6 km (1 mile) in length.

Images courtesy of the Copper Development Association and the European Copper Institute.

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Major Uses of Copper: Industrial Machinery


and Equipment
Wherever industrial machinery and equipment is found, it The corrosion resistant properties of copper and copper
is a safe bet that copper and its alloys are present. Due to alloys (such as brass, bronze, and copper‐nickel) make
their durability, machinability and ability to be cast with them especially suitable for use in marine and other
high precision and tolerances, copper alloys are ideal for demanding environments.
making products such as gears, bearings and turbine
Vessels, tanks, and piping exposed to seawater,
blades.
propellers, oil platforms and coastal power stations, all
Copper's superior heat transfer capabilities and ability to depend on copper's corrosion resistance for protection
withstand extreme environments makes it an ideal choice
for heat exchange equipment, pressure vessels and vats.

Images courtesy of the Copper Development Association.

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Major Uses of Copper: Consumer and General


Products
From the beginning of civilization copper has been used Copper and copper‐based products are used in offices,
by various societies to make coins for currency. households and workplaces. Computers, electrical
appliances, cookware, brassware, and locks and keys are
Today, countries are replacing just some of the products exploiting copper's advantages.
lower denomination bills with
copper‐based coins, as these
coins last 10, 20 and even 50
times longer.

In the United States, one cent


coins and five cent coins contain 2.5% and 75% copper,
respectively, while other U.S. coins contain a pure copper
core and 75% copper face.1 In the recently expanded
European Union, the Euro coins, first introduced in 2002, In addition, in areas known to be copper deficient, copper
also contain copper. is used by farmers to supplement livestock and crop feed.

Images courtesy of the International Copper Association and the Copper Development Association.

1
Source: U.S. Department of the Treasury.

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Major Uses of Copper: Usage by End‐Use Sector and Region, 2009


Basis: copper content, thousand metric tonnes
Source: International Copper Association

2009
tonnes
000

China 7,873
Japan 1,222
South Korea 766
India 920
ASEAN 863
Taiwan 435
North America 2,468
Latin America 1,194
Western Europe 3,133
Eastern Europe (excluding 751
Russia 464
Africa 534
Rest of World 1,477

World 22,099

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Chapter 5: Copper Recycling


Copper is among the few Closing metal loops through increased reuse and recycling
materials that do not degrade or enhances the overall resource productivity and therefore
lose their chemical or physical represents one of the key elements of society’s transition
properties in the recycling towards more sustainable production and consumption
process. Considering this, the patterns. It is widely recognized that recycling is not in
existing copper reservoir in use opposition to primary metal production, but is a
can well be considered a necessary and beneficial complement.
legitimate part of world copper reserves. In the recent In 2008, ICSG estimates that 35% of copper consumption
decades, an increasing emphasis has been placed on the came from recycled copper. Some countries' copper
sustainability of material uses in which the concept of requirements greatly depend on recycled copper to meet
reuse and recycling of metals plays an important role in internal demands. However, recycled copper alone
the material choice and acceptance of products. If cannot meet society's needs, so we also rely on copper
appropriately managed, recycling has the potential to produced from the processing of mineral ores.
extend the use of resources, and to minimize energy use,
some emissions, and waste disposal.

Images courtesy of the European Copper Institute.

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Copper Recycling Rate Definitions • The Overall Recycling Efficiency Rate (Overall
RER) indicates the efficiency with which end of life
The recycling performance of copper-bearing products (EOL) scrap, new scrap, and other metal-bearing
can be measured and demonstrated in various ways – residues are collected and recycled by a network of
depending, among other things, on objectives, scope, collectors, processors, and metal recyclers. The key
data availability and target audience. The three target audiences of this particular indicator are metal
International Non-Ferrous Metal Study Groups in industry, scrap processors and scrap generators.
conjunction with various metal industry associations
agreed on the common definitions of the three following
metal recycling rates: • The EOL Recycling Efficiency Rate (EOL RER)
indicates the efficiency with which EOL scrap from
• The Recycling Input Rate (RIR) measures the obsolete products is recycled. This measure focuses
proportion of metal and metal products that are on end-of-life management performance of products
produced from scrap and other metal-bearing low- and provides important information to target audiences
grade residues. The RIR is mainly a statistical such as metal and recycling industries, product
measurement for raw material availability and supply designers, life cycle analysts, and environmental
rather than an indicator of recycling efficiency of policy makers.
processes or products. The RIR has been in use in the
metals industry for a long time and is widely available
from statistical sources. Major target audiences for this
type of “metallurgical” indicator are the metal industry,
metal traders and resource policy makers. However,
given structural and process variables, it may have
limited use as a policy tool.

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Global Copper Recyclables Use, 2002-2008


Thousand metric tonnes
Source: ICSG

2002 2003 2004 2005 2006 2007 2008


Americas 1,466 1,379 1,426 1,429 1,476 1,493 1,345
Asia 2,807 2,882 3,324 3,575 4,257 4,304 4,296
Europe 2,711 2,529 2,594 2,469 2,638 2,579 2,529
Africa & Oceania 68 51 51 55 50 61 52
World / Total Scrap Use 7,056 6,848 7,401 7,536 8,425 8,445 8,230

Total scrap use year-on-year -3.0% 8.1% 1.8% 11.8% 0.2% -2.6%
Secondary refined production 1,898 1,786 2,069 2,161 2,613 2,743 2,823
Cu content of Direct Melt 5,159 5,061 5,331 5,375 5,812 5,702 5,407
Refined Usage 15,238 15,719 16,845 16,677 17,058 18,239 18,062
Total copper usage 20,396 20,781 22,176 22,053 22,869 23,941 23,468
Recycling Input Rate (RIR) 34.6% 33.0% 33.4% 34.2% 36.8% 35.3% 35.1%

Recycling Input Rate 2002 2003 2004 2005 2006 2007 2008
Asia 30.9% 30.0% 31.7% 33.1% 37.7% 34.2% 34.0%
Europe 44.4% 41.6% 41.2% 41.5% 41.0% 41.3% 42.7%
North America 32.4% 31.5% 30.5% 31.1% 33.2% 34.1% 33.0%
Rest of the World 16.3% 14.0% 14.6% 16.6% 17.1% 18.8% 16.3%
Total World 34.6% 33.0% 33.4% 34.2% 36.8% 35.3% 35.1%

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ICSG Global Copper Scrap Research Project


Based on interest expressed by ICSG member countries, ICSG launched the copper scrap market project in 2007 in order to
provide greater transparency on an increasingly vital component of the world copper market at a time when globalization
is reshaping the copper scrap and copper alloy recycling business. The final report of the project was published in August
2010. Key drivers of the global scrap market are identified below as are some of the key project outputs. For more
information about ICSG work related to copper scrap, please contact the ICSG Secretariat at mail@icsg.org

Key Drivers of the Global Copper Scrap Market ICSG Global Copper Scrap Project Reports
• Expanding Copper Mine Production and • ICSG Global Copper Scrap Research Project
Refined Copper Substitution Final Report (New!)
• Industrialization and Economic Growth
• Japan Scrap Market Report
• Prices
o Copper Scrap Prices and Spreads • China Scrap Usage Survey
o Refined Copper Prices and the Demand
• China Domestic Scrap Generation 2010‐2015
for Scrap
• China • India Scrap Market
• The Shift in Regional Scrap Processing • China Scrap Market Report
Capacity
• Regulations on Recycling and Trade
• Technology

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The Flow of Copper

Trade Concen- Blister/ Refined Alloy Alloy Semis


trates/ Anode Copper Ingot Metals Net Trade
Matte

Fabrication
Mining Production
Wire rod Wire rod plant /
Wire mill
SX/EW
Refined Brass Semis Supply
Usage mill
Mine Smelter Refinery

Foundry
New Scrap
Chemicals Low Grade
By-products/ Other Plants Residues
Tailings
slag/ashes

Scrap Scrap for Scrap for Hydromet. Direct Ingot


Recycling Smelting Refining Plant Melt Maker

incl. low grade 987 scrap alloys

refined

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The Flow of Copper (cont.)


(EOL Management
Semis Finished Net EOL
adjusted for
Import Products Trade Products
export/reuse after
collection)
Manufacture Product Use End-of-Life Management
(Lifetime)
Construction C&D
Copper
Reservoir INEW
Product E&E Equipment Finished EOL
in Use Products
Supply Products
Ind. equipment IEW

Transport Abandoned/ ELV


Stored/
Consumer/ Gen. Reused
End-of-Life WEEE
Products
Other Uses MSW & Other

Low grade Recycling


losses new Dissipative
from Fabr. Disposal/
scrap Uses
Other Uses
Recycling
New Old
Scrap Scrap
Scrap &
Low grade Other Metal
Recycling Net Trade Loops

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ANNEX
World Copper Production and Usage, 1960-2009p
Thousand Metric Tonnes
Source: ICSG

Mine Refined Refined Mine Refined Refined Mine Refined Refined


Production Production Usage Production Production Usage Production Production Usage
1960 3,924 4,998 4,738 1977 7,444 8,884 9,057 1994 9,549 11,124 11,420
1961 4,081 5,127 5,050 1978 7,306 9,030 9,527 1995 10,084 11,832 12,059
1962 4,216 5,296 5,048 1979 7,371 9,200 9,848 1996 11,097 12,677 12,636
1963 4,286 5,400 5,500 1980 7,230 9,261 9,396 1997 11,537 13,478 13,103
1964 4,443 5,739 5,995 1981 7,721 9,573 9,522 1998 12,248 14,075 13,519
1965 4,647 6,059 6,193 1982 7,745 9,319 9,090 1999 12,775 14,578 14,301
1966 4,872 6,324 6,445 1983 7,843 9,541 9,510 2000 13,203 14,796 15,185
1967 4,626 6,004 6,195 1984 8,138 9,440 9,930 2001 13,633 15,638 15,014
1968 5,010 6,653 6,523 1985 8,288 9,455 9,798 2002 13,577 15,354 15,210
1969 5,562 7,212 7,137 1986 8,266 9,920 10,112 2003 13,757 15,272 15,717
1970 5,900 7,592 7,291 1987 8,592 10,148 10,293 2004 14,594 15,918 16,833
1971 5,941 7,404 7,296 1988 8,775 10,512 10,668 2005 14,924 16,572 16,683
1972 6,541 8,100 7,942 1989 9,084 10,908 11,081 2006 14,991 17,291 17,058
1973 6,915 8,544 8,740 1990 9,226 10,804 10,846 2007 15,474 17,934 18,239
1974 7,097 8,759 8,310 1991 9,372 10,686 10,540 2008 15,536 18,200 18,056
1975 6,735 8,187 7,445 1992 9,497 11,042 10,843 2009p 15,877 18,356 18,186
1976 7,289 8,632 8,539 1993 9,553 11,249 10,979

International Copper Study Group 53


International Copper Study Group
Rua Almirante Barroso 38 – 6th

1000-013 Lisbon, Portugal

Tel: +351-21-351-3870 Fax: +351-21-352-4035

e-mail: mail@icsg.org

Web site: www.icsg.org