Good time for Zinc, unfortunately due to natural disaters that...

Good time for Zinc, unfortunately due to natural disaters that should not occur to anyone.

PEM is the most under-performed Zinc stock over the last 6 months, the fact that they managed to lower their production cost and increase output means that they should have a better quater than last, together with the merger with CBH they are only going to be more efficient and effective in their Zinc and Lead productions.

Should be a great day monday.

Good luck all


Zinc Heads for Biggest Gain Since November as China Cuts Output

By Chanyaporn Chanjaroen

May 16 (Bloomberg) -- Zinc rose in London, heading for the biggest weekly gain since November as the biggest earthquake in nearly six decades in China curbed output. Aluminum also rose.

China's 7.9-magnitude earthquake is affecting as much as 350,000 tons of zinc smelting capacity in Sichuan and neighboring provinces, according to Beijing Antaike Information Development Co. China is the world's biggest producer of zinc used to galvanize steel. The tremor that took place May 12 also affected transportation and power supply.

``If it's a sustained damage, it's going to be a disruption that make markets nervous,'' said Giles Lloyd, a zinc analyst at London-based researcher CRU in London.

Zinc rose $51, or 2.3 percent, to $2,369 a metric ton as of 12:27 p.m. on the London Metal Exchange. That would be a 9.8 percent rise this week, the biggest since November.

Disrupted production in China will probably erode some of the global surplus estimated to be as much as 700,000 tons this year, Lloyd said. A labor strike at Anglo American Plc's Namibian Skorpion mine, Africa's largest zinc operation, is also hampering production as the dispute entered a seventh day.

Skorpion, near Namibia's border with South Africa, has the capacity to produce about 150,000 tons of zinc a year. That's about 1 percent of global mine output forecast at 12.08 million tons this year by the International Lead and Zinc Study Group.