AREVA - Competitors

AREVA Competition

Now Viewing AREVA's competition in: Metal Ore Mining (primary)

Recent Developments

Metal Service Center Shipments Drop - In August 2008, US steel product shipments, a demand indicator for metal ores, declined nearly 17 percent compared to the same 2007 period, according to the Metals Service Center Institute. US metals centers haven't had a monthly increase in steel shipments since October 2007. Canadian steel centers also saw shipments fall more than 18 percent in August 2008 compared to a year earlier.

Rising Acid Prices Squeeze Copper Producers - Price increases for sulfuric acid, which is used in copper production, are pressuring mining company profit margins, according to industry analysts. Rising prices for acid are compounding the effects of falling copper prices. Producer prices for sulfuric acid rose nearly 54 percent in September 2008 compared to a year earlier; copper prices declined more than 5 percent.

Credit Crisis Challenges Gold Producers - The US economic crisis and tight credit markets are likely to constrict global gold supplies, according to South African gold miner Gold Fields Limited (GFL). GFL expects smaller gold mining firms to have trouble securing financing for mining projects, which will tighten the mining supply of gold. To keep up operations, mining companies may seek financing and mining opportunities in emerging markets such as China, Peru, and parts of Africa.

Competitive Landscape

Demand is driven by industrial demand and economic growth, both domestic and foreign. Individual company profitability depends on volume and operating efficiency. Large companies can afford to discover and develop new deposits and increase reserves. Small companies typically own just one mine, limit exploration to that one property, and operate it as efficiently as possible. Metal ore mining is highly automated: annual revenue per employee is about $300,000.

Full Industry Overview For Metal Ore Mining

Metal Ore Mining Industry Forecast

from Hoover's/D&B subsidiary First Research

The output of US metal mining is forecast to grow at an annual compounded rate of 5.4 percent between 2008 and 2013.

Metal Mining Growth Peaks then Steadies

First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.