NATURAL

 RESOURCES  

RESOURCE  
NAT  
Resource  demand  from  developing  world  to  exceed  developed  world  by  2015    
•  Rapid   emergence   of   developing   industrial   powers   poses   complex   challenge   for   global  
resources  market.      
•  Demand  for  iron-­‐ore,  aluminum  and  copper  to  double  over  next  15  years.    High  demand  
straining  interna9onal  supplies.  
•  Copper   demand   to   exceed   mine   output   by   822,000   metric   tons   in   2011,   more   than  
double  last  year’s  shorQall.  
•  Prices  have  more  than  tripled  since  end  of  2008.  

China  now  the  world’s  largest  consumer  of  metals    

•  Main  importer  of  global  iron  ore  (key  for  steel  making)  -­‐  on  track  for  record  in  2011  
•  Consumes  over  1/3  of  world’s  aluminum,    ¼  of  copper,  1/10  of  oil  and  ½  of  iron  ore.  

By  2030,  addi[onal  demand  would  require…  

•  Another  Pilbara  region  (Australia)  every    5  years  to  meet  iron  demand  
•  Another  Saguenay  (Canada)  every  9  months  to  meet  aluminum  demand  
•  Another  Escondida  (Chile)  every  year  to  meet  copper  demand  
•  Another  Hunter  Valley  (Australia)  every  year  to  meet  coal  demand  
•  Another  Ranger  (Australia)  every  four  years  to  meet  uranium  demand  

THE  GREATEST  OPPORTUNITY  OF  OUR  LIFE  TIME  –  WATER  &  NATURAL  RESOURCES  

Coal  is  king  

•  China   is   building   one   1,200   MW   coal-­‐fired   power   plant   every   week   to   triple   its   coal  
consump9on  and  becoming  a  net  importer.      
•  India   set   a   record   for   coal   imports   in   2010.     FT   reports   imports   are   up   10X   in   past  
decade,  and  will  rise  another  20%  in  2011.  
•  Demand/supply  shortage  of  coal  expected  to  reach  142  million  tons  next  year  in  India.  
China  dominates  rare  earth  market  
•  China  controls  95%  of  global  supplies  of  these  elements,  crucial  for  solar  panels,  wind  
turbines,  high  tech  devices,  advanced  baheries  and  electric  vehicles  
•  Global  search  for  new  mining  regions  in  Mongolia,  United  States  &  Australia  
Lithium    -­‐  “the  most  sought  amer  –  and  fought  over  –  commodity  on  the  planet”  
•  Used  in  25%  of  total  world  bahery  produc9on  in  2008  
•  Korea,  Japan,  other  Asian  na9ons  stockpiling  150,000  tons  produced  in  W.  Australia.  
•  China  will  increase  2011  lithium  produc9on  by  500%  over  2010  levels  
Nuclear  energy  will  drive  uranium  demand  
•  China  currently  has  20  new  nuclear  power  plants  under  construc9on  
•  Government  plans  to  increase  this  number  six-­‐fold  over  the  next  decade    
•  Global  demand  for  mined  uranium  predicted  to  increase  4X  over  the  next  30  years  

T H E   B E S T   I N V E S T M E N T S   A R E   W H E N   N E E D S   =   O P P O R T U N I T I E S