The mining industry has reaped a bonanza during the past two years. Prices of base metals, precious metals and others, especially “rare earth” metals, have surged.
So, “when will the party end” asked Tom Albanese, chief executive officer of Rio Tinto at the Credit Suisse Asian Investment Conference in Hong Kong yesterday.
Well, not soon. “It will continue for some time due to the irresistible demand-pull of China’s appetite to build infrastructure and produce secondary goods,” he replied.
But, maybe his experience in the copper industry provides a warning. Exploration companies flourished in the 1970s, which led to an over-supply right up until...
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