Asia: Closing the Mining Gap

The World's mining industry seems transfixed by whether, or not, China's economy will continue to grow, and maintain its astonishing appetite for metals and minerals. In truth, what the industry's leaders need to ask is whether Asia in general and China in particular, will soon be able to supply most of its own commodity requirements.

During a presentation to the AMEC conference in Perth last week, IntierraRMG's Editorial Director, Chris Hinde, commented that it is often forgotten that not only is China the biggest user of natural resources, it is also by far the largest national producer; and the Asian dominance of minerals production is growing.

According to IntierraRMG's database, Asian production (of which China is by far the largest constituent) now accounts for over 61% of the World's coal output (which amounted to 7,695Mt last year), compared with a share of only 44% ten years ago (when global production was 4,850Mt).

Asia last year accounted for 31% of the World's iron-ore output (1,980Mt, which was twice the amount produced globally in 2002, when Asia's share was barely 23%). Asia now captures almost one-third of the World's bauxite output, compared with barely 19% in 2002. The continent achieved 26% of global gold production last year (2,570t), compared with 21% of the similar total gold production in 2002.

In contrast, Asia's share of copper production has slipped slightly over the past ten years. The region accounted for just 19% of last year's global 16.3Mt, compared with almost 20% of the 13.6Mt in 2002.

*** ENDS ***

IntierraRMG delivers respected market and project reports for suppliers, material flows analysis, mineral economics policy and unrivalled consulting expertise. Our databases and sector-specific modules offer unique insights into lease ownership, company evaluations, M&A, risk management, due diligence, competitor intelligence and project pipeline evaluation.

Based on InterraRMG