Not as clear cut as a few of those are integrated operations- Skorpion, Moorsboro (from EAF dust) and possibly Electrozinc. CEZ and Trail smelter disruptions will likely find the zinc concentrates diverted into the spot market. There has also been some disruption to mine supply via Peñasquito so there may be some small reduction in zinc TCs (if any). However, the lack of Chinese demand for concentrates has to be a concern especially as the head into the winter months:
The first is the surprisingly low level of concentrate imports, which were down 1.3% year-on-year in the first eight months of 2019. The inference is that Chinese smelters have been relying on domestic mines or drawing down stocks rather than feasting on Western mine surplus.
As more concentrates get converted to metal this should reduce the TCs next year assuming there are no further expansions.
NCZ Price at posting:
29.0¢ Sentiment: Sell Disclosure: Not Held
