In its monthly report, the ICSG says the decline in world mine production was mainly due to:
• A 1.6% decline in production in Chile, the world's biggest copper mine producing country which was negatively affected by the strike at the Escondida mine and lower output from Codelco mines.
• Reductions in concentrate production in Argentina, Canada and Mongolia of 57%, 15.5% and 15% respectively were mainly due to lower grades in planned mining sequencing and Argentina's Alumbrera mine approaching end of life.
• A 14.5% decline in Indonesian concentrate production as output was constrained by a temporary ban on concentrate exports that started in January and ended in April.
• There was a 12% decline in production in the US mainly due to lower ore grades, reduced mining rates and unfavourable weather conditions at the beginning of the year.
"However these reductions in output were partially offset by 30.5% and 3.7% increases in Kazakhstan and Peruvian mine production, respectively, with both countries benefitting from new and expanded capacity that was not yet fully available in 2016. Brazil, Mexico, Myanmar, Spain and Sweden also contributed to world growth.
Regionally mine production is estimated to have declined in the Americas by 2.5%, in Asia by 4.5% and in Oceania by 5% while increasing in Europe (including Russia) by 2.5% and remaining essentially unchanged in Africa.
Overnight, the gold price was fixed at $1323.42.
The WTI crude oil price was slightly up overnight at $62.63 per barrel.
In softer commodities, cocoa decreased $16 per tonne or 0.74% to $2156/t yesterday from the $2172 in the previous trading session, tradingeconomics.com reported. Historically, cocoa reached an all-time high of $4361.58/t in July of 1977 and a record low of $211/t in July of 1965.
Coffee increased 1.05c per pound or 0.90% to 118c/lb yesterday from 116.95c/lb in the previous trading session, tradingeconomics.com reported. Historically, coffee reached an all-time high of 339.86c/lb in April of 1977 and a record low of 42.50c/lb in October of 2001.