Reuters (January 2023) highlights that countries like Indonesia, the Democratic Republic of the Congo, and Peru are experiencing a rapid increase in the production of strategic minerals such as copper, nickel, and cobalt, which are essential for the energy transition and the manufacturing of high-tech devices. These markets offer competitive costs and large untapped reserves, although they face challenges in infrastructure and governance.
For investors, the opportunity lies in supporting early-stage projects, where assets have the highest potential for revaluation. However, a cautious approach is needed, with a comprehensive evaluation of political, social, and environmental risks. Those who can establish strong partnerships with local actors and adopt ESG practices may position themselves advantageously in a sector with high growth prospects.
The modernization of the mining industry in these countries also involves adopting advanced exploration technologies, implementing sustainable practices, and improving labor conditions, factors that can increase competitiveness and long-term profitability.
Source:
• Reuters, “Emerging Markets Drive Surge in Critical Mineral Production,” January 2023.
