Barron’s reported that in the next few years, zinc prices could be pushed up over 20 percent by the combination of mine closures and increased construction in China, perhaps hitting $2,400 per metric ton (MT) by 2015.
As quoted in the market news:
Zinc has moved roughly sideways since March. But benchmark prices of the metal—used in construction, automobile production, and the manufacture of brass—could hit $2,400 a metric ton by 2015, about 23% above its recent quote of $1,955 on the London Metal Exchange, analysts say. A recent report from brokerage firm Natixis cites “the imminent demise of a number of significant [zinc] mines around the world,” as a cause. Mineral deposits get depleted as ore is extracted. At some point, it isn’t profitable to continue digging.