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McEwen: Mining Industry Faces Pipeline Shortage Despite Strong Metal Prices and Cash Flows

Gold continues to trade near record highs and copper has surged on tightening supply, yet mining stocks have failed to keep pace with metal price gains, according to Rob McEwen, Chair of Mcewen Mining, in an interview published on Mining.com on August 19, 2026. McEwen attributes this disconnect to structural challenges within the industry's largest producers. He argues that major mining companies have spent years divesting growth assets and underinvesting in exploration activities.

While this approach has resulted in strong balance sheets for these producers, it has simultaneously created a shrinking pipeline of new development projects. As global demand for copper accelerates and governments move to secure critical minerals supplies, McEwen believes this imbalance is beginning to reshape the mining industry landscape. He expects increased merger and acquisition activity as companies seek to replenish their project pipelines and secure future growth opportunities.

Beyond commodity price dynamics, McEwen identifies labour challenges as one of mining's most significant obstacles, suggesting that human capital and workforce availability have become more critical constraints than commodity price volatility. Record copper prices are also influencing project economics, with implications for developments like Los Azules, which McEwen describes as one of the world's largest undeveloped copper projects. Despite near-record metal prices and strong corporate cash generation, McEwen contends that mining equities remain significantly undervalued by market participants, positioning them as overlooked investment opportunities.

Source: Mining.com, August 19, 2026

Source: mining.com

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