NEW YORK Kennecott Utah
Copper is not likely to declare force majeure for
molybdenum, having managed to cover its contract commitments
through ongoing mine production and purchased concentrates.
The division of London-based Rio
Tinto Plc declared force majeure for its copper
operations last month after an April 10 wall slide forced the
company to suspend mining at Bingham Canyon, but its molybdenum
operations have fared better (
amm.com, April 17).
"Kennecott has not declared
force majeure on moly contracts and will not likely
declare. We have covered our contract commitments through
ongoing mine production and purchased concentrates from the
market," a Kennecott source told AMM. "Work is
progressing on Bingham Canyon and the mine is delivering ore
from the mine for copper production as well as reclaiming
stockpiles from outside the mine perimeter that (are) yielding
reasonably good moly production. Progress will be slow for a
while, but we expect to see the mine to recover and production
to improve later in the year."
The company said recently that
the Bingham Canyon Mine will operate at reduced capacity for at
least six months (
amm.com, May 21).
ticked up to a range of $11.90 to $12.45 per pound from $11.75
to $12.35 previously. Molybdic oxide was steady at between
$10.90 and $11.30 per pound.