- The rapid rise in metal prices within a short span of time has been beneficial for the producers and explorers of metals.
- According to industry experts, metal prices are expected to remain high in 2022 because of the rise in demand and global supply constraints.
The global economic recovery after the Covid-19 pandemic led to a rebound of commodity prices mainly due to a rise in underlying demand for different commodities. Higher consumer spending after the lockdown, pick-up in global energy transition and stimulus by the government to boost the economy all collectively created an environment for high demand.
3 metals & mining stocks to buy for a long term
The rapid rise in the metal prices within a short span of time has been beneficial for the producers and explorers of metals like SolGold Plc, Orosur Mining Inc, Alba Mineral Resources Plc. According to industry experts, metal prices are expected to remain high in 2022 because of the rise in demand and global supply constraints.
© 2021 Kalkine Media
Let us look explore the investment prospect of the above-mentioned FTSE listed metals and mining stocks that are in focus:
SolGold Plc (LON: SOLG)
The company does the exploration and production of gold and copper through its mining assets. Its key project is located in Ecuador, which is home to many copper and gold projects from other companies and supplies half of the world’s copper resources.
The company has given a drilling update for its Cascabel project in northern Ecuador. The initial drilling outcome estimate copper and gold deposit at the site. The company will carry forward the ongoing drilling program using the open pit and underground bulk mining method to identify other resources at the site, which will help in the development of the property as a whole.
SolGold Plc traded at GBX 22.90, up by 1.78% on 03 December 2021 at 10:30 am GMT+1, with a market cap of £516.11 million.
Orosur Mining Inc (LON: OMI)
The company is engaged in the exploration of gold and its key mining assets is in South American countries like Colombia, Chile, and Uruguay. The company is currently performing drilling activities at its different sites to confirm the potential deposit. In its last drilling at Anzá Project in Colombia, the company has drilled most holes for geological reasons. Also, the company has reduced the number of drill rigs from five to one, shifting focus to understand the region better.
Orosur Mining Inc traded at GBX 11.75, down by 6.0% on 03 December 2021 at 10:30 am GMT+1, with a market cap of £23.55 million.
Alba Mineral Resources Plc (LON: ALBA)
FTSE AIM-listed company explores industrial base metals like graphite, gold, iron ore through its different mining assets in Greenland, the United Kingdom, and Ireland.
The company’s portfolio company, GreenRoc Mining plc, which has recently completed drilling work at Amitsoq Graphite Project in southern Greenland, has reported a reserve of high-grade graphite, which is thicker and more consistent than the initial estimate. As a result, the company will prepare to carry out phase 2 drilling, which is expected to begin soon.
Alba Mineral Resources Plc traded at GBX 0.17, up by 4.69% on 03 December 2021 at 10:30 am GMT+1, with a market cap of £10.25 million.