Post #156

🇿🇲I’m American. Trust me. 🌐 How much do you like donuts? Lately mining comapnies started to change their legal address to the US to get a slice of Trump's push for critical minerals. That is the story behind Indian group Vedanta thatjust createda US company to hold its copper ambitions in Zambia. 🔸 Vedanta Group, which has been the central player at Zambia's Konkola Copper Mines for years, announced a US-domiciled vehicle called CopperTech Metals, which will take control of all its assets in Zambia, framing it as part of America’s copper security. The creation of CopperTech Metals comes as companies look to capitalise on renewed US government support for the mining sector. 🔸 The company needs to raise $1.5B, which will cover the company’s commitment to invest $1bn to revive KCM under a deal it made in 2023 to regain control of the mine after Zambia’s government seized it in 2019. They did not spell out the exact mechanism that will help find the funds in the US, but the most likely considerations are easier access to the US stock listing, access to American institutional investors, eligibility for federal loans and guarantees, the chance to apply for grants. ⏩While foreign holdings move their subsidiaries to the US, genuinely American investors are not that eager to invest in Africa ⏪ 🔸 Recently the US has shown interest in the critical mineral wealth of the DRC, Liberia, Angola, Zambia, Tanzania, South Africa. However, bare interest isn't enough, while American companies have not made any large investment committments in mining or beneficiation. Even if all was avout real American investment, the US will not outrun China soon. China’s strength is not only in the mines. It dominates the next steps - concentrates, refining, cathodes, chemicals, components. The US does not have this full industrial base yet. Devils Below