Metals &Mining Alert:Daily prices and news,Philippines seeks ban on unprocessed ore exports

Industrials (/lb): aluminum $0.94 (-1.7%), copper $3.02 (-0.3%), lead $1.05 (-1.4%), molybdenum $7.14 (+0.0%); nickel $5.21 (-2.2%); zinc $1.39 (-1.7%);Precious (/oz): gold $1,291 (+0.4%), silver $17.07 (+0.5%); Steel (/mt): ChinaHRC $626 (+2.0%), SHFE Rebar $591 (+2.8%), MB Scrap Index $347 (+0.0%);Bulks: iron ore (/dmt) $78 (+1.6%), coking coal (/mt) $203 (+0.0%), freight (BCI)2,406 (+3.1%); Energy: Brent (/bbl) $52.41 (+0.7%), WTI (/bbl) $47.87 (+0.9%),natural gas (/mmBtu) $2.89 (-1.9%), thermal coal (/t) $99 (+0.2%).

    Lawmakers in Philippines file a bill which seeks to ban unprocessed oreexports and mining in most watershed areas. The new bill, which amends a1995 law that only banned mining in proclaimed watersheds, will now banmining in most all watersheds, require miners to seek legislative approval andcease unprocessed ore exports in order to develop the local mineral processingindustry. Philippines is the world’s largest nickel ore exporter. (Reuters)China Iron & Steel Association (CISA) expects Chinese mills to maintain highoutput in coming months as steel prices stay range bound. Supply may beaffected by winter production curtailments, but high output from major millsprior to that will likely cap prices and prevent shortages. From Jan-July, steeloutput rose 5% YoY to 492mt, while consumption increased 11% to 450mt.

    However, market participants disagreed with CISA as they noted Ministry ofEnvironmental Protection’s latest release entailing detailed measures to curbsteel output in winter has already led to price hikes. (SBB)Chile’s presidential candidates propose vast changes in the mining sector. Probusinesscandidate, Mr. Alejandro Guillier, is keen on promoting the localsmelting industry and increasing refined copper exports, whereas Mrs. BeatrizSanchez seeks to revamp Chile’s social security system by hiking mining taxes.

    Mr. Sebastian Pinera, who currently has a large poll lead, seeks to streamlinethe sector’s permitting process and support large scale and greenfield mining.

    Chile hosts large reserves of copper and lithium. (Mining Weekly)Brazilian President, Mr. Michel Temer, defends opening a section of theAmazon to mining. He stated environmental concerns were being overstatedand allowing legal mining there would help combat illegal exploration, which isrife in the Renca territory, where waterways are currently being polluted withmercury by illegal gold miners. His recent decree has faced widespreadcriticism from environmentalists as Amazon is considered vital to combatclimate change, given it absorbs carbon emissions. (Reuters)Crude steel output at CISA mills averaged 1.87mt/day (+0.9% sequentially,+10% YoY) during August 1-10. Finished steel inventory at mills totaled 12.2mt(-1%, -8.6%). China’s total output estimated at 2.36mt/day (+0.6%, +6%). (SBB)US Oil & Gas rig count declines by 6 WoW to 940 (+451 YoY). Oil-directed rigsfell by 4 to 759 (+353) and gas-directed rigs was down by 2 to 180 (+99).

    Canadian count increased by 3 WoW to 217 (+71 YoY). (Baker Hughes)