broker update, page-13

Hi all
Reading through the open day preso for GlencoreXstrata , came across this .

Market update – medium/long-term zinc outlook
Zinc mine supply expected to move to deficit soon
•5% increase in demand = 600kt+ of new zinc mine capacity needed every year
•By 2016 nearly 2Mt of new annual production required, by 2020 - 5Mt
•Refined market is already in deficit
•Known expansions / new projects add about 1.1Mt of zinc to global mine production by 2016. BUT leaves a gap of 1Mt
•Thereafter mine production likely to fall a cumulative 2Mt in following 5 years as a significant mine production reaches end of life (Lisheen, Century…)
•Plenty of potential projects but challenged by current price levels and availability of finance – note the almost total collapse of the junior sector, very few major players interested in zinc.

That concrete floor is looking better and better for BTR

G.L.T.A.H

Stu