New Energy Weekly – The World Needs More Copper
The World Needs More Copper
One of the major themes of New Energy is the idea that the world needs more copper. We see lots of stories that support our thesis. And our copper positions are beginning to move higher.
Last week, we talked about the meteoric rise of Capstone Copper (TSX: CS). This week, we have news from another copper stock from our model portfolio.
One of the more interesting stories to start 2023 comes from Ivanhoe Electric (NYSE: IE). The company announced a partnership with Saudi Arabian Mining Company Ma’aden to explore for gold, silver, copper, and other industrial minerals. The agreement includes a $126.4 million investment by Ma’aden into Ivanhoe Electric. That works out to 10.2 million shares at $12.38 per share.
For a company that only went public in June 2022, that’s an outstanding deal. Here’s what the chart looks like:
We recommended readers buy Ivanhoe Electric at $10.10 per share in September 2022. I’m thrilled with that investment.
Our copper recommendations also include Adventus Mining Corporation (TSXV: ADZN). We just put this into the portfolio in December 2022. The company announced C$6.9 million financing in mid-January 2023. The money will go towards exploration expenses for the company’s Santiago project (you can read more about that in the link above).
That’s what we want to see from Adventus. The company needs to advance its project in 2023, which will result in an increase in share price for us.
Readers can expect to see us add to our copper portfolio in 2023 as this trend continues to develop.