Downturn in Iran's Copper Production

EghtesdOnline: Major Iranian copper producers produced an aggregate of 102,163 tons of copper concentrate in the first Iranian month (March 21-April 20) to register a decrease of 5% compared with last year’s same month.

News ID: ۷۴۷۴۲۹

26 May 2019

Sarcheshmeh Copper Complex was the biggest producer with 63,018 tons, down 6% YOY; followed by Sungun Complex with 28,305 tons, up 5% and YOY; and Miduk with 10,840 tons, down 23% YOY, Iranian Mines and Mining Industries Development and Renovation Organization’s latest report shows.

Sarcheshmeh Copper Complex and Khatoon Abad Copper Refinery produced an aggregate of 31,268 tons of copper anode during the month under review, up 26% YOY. Sarcheshmeh had the biggest share with 21,028 tons, up 31% YOY. Khatoon Abad produced 10,240 tons, up by 17% YOY.

Sarcheshmeh Copper Complex and Miduk Complex produced a total of 21,707 tons of copper cathode during the month under review, up by 53% YOY. Again, Sarcheshmeh had the largest share with 14,331 tons, as Miduk produced 7,376 tons, according to Financial Tribune.

A total of 716 tons of molybdenum were produced by Sarcheshmeh and Sungun (530 and 186 tons respectively) during the one-month period, which indicates a 47% increase year-on-year.

On the other hand, copper and downstream products’ imports stood at 1,870 tons worth $17.42 million, indicating a 93.3% and 90.7% decrease in tonnage and value respectively YOY.

According to the United States Geological Survey, Iran holds the world's ninth largest copper reserves.

The United States imposed exclusive sanctions on Iran's industrial metals earlier this month.

"These were existing sanctions that had been waived under the nuclear deal that are now being reimposed," said President of Iran Copper Association Bahram Shakouri.

“Iran’s metal exports were usually through third party exports made by an exporter or manufacturer on behalf of another exporter or exporters. Therefore, Washington’s new sanctions won’t amount to much, but it could carry some risks and costs.”

Exports of copper and downstream products last year stood at 365,070 tons worth $917.53 million, down by 52% in tonnage and up by 13% in value YOY.

Copper and downstream products were the third major mineral commodity on the list of the country’s mineral trade.