Zinc has risen 2.04% today, following the Federal Reserve’s interest rate hike, and is up 33.52% this year.
Trading Economics reports zinc at US$3,888 ($5,465) per tonne as of today (18 September), sitting above the Q3 forecast of US$3,877.
Earlier this week, zinc fell to its lowest level in nearly a month, briefly sitting below US$3,800 per tonne.
As reported by Mining.com.au two days ago, zinc stocks on the London Metal Exchange (LME) have been rising, while spot zinc prices have climbed above the three-month price.
Higher prices will support zinc producers, which will benefit Australia’s economy, given the country holds more than 20% of the world’s known zinc-lead resources.
Geoscience Australia reports the country to be the largest producer and exporter of zinc-lead to the rest of the world.
Polymetals Resources (ASX:POL) is one Australian zinc producer, sourcing the material from its Endeavor Silver-Zinc-Lead Mine in New South Wales.
Earlier this month, Polymetals reportedly increased the mineral resource estimate at Endeavor to 20.7 million tonnes, despite ongoing mining and the adoption of a 5% lower density assumption.
The global in situ resource, excluding tailings, grades 7.5% zinc, 4.2% lead, and 82 grams per tonne silver at a combined 5% lead and zinc cut-off.
Endeavor has 400,000 tonnes of contained zinc, along with 172,000 ounces of contained lead and 21.4 million ounces of contained silver.
Write to Maddison Elliott at Mining.com.au
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