A likely rebound in the amount of raw zinc produced this year could have miners "begging smelters” to refine the metal used to galvanize steel, potentially boosting their fees to the highest in two years.
Supplies of the refined metal have been tight following smelter disruptions in China. This year, though, the production of zinc concentrates – the raw material pulled from rock – could rise by 6.5%, compared with 3.7% in 2018, with a number of new mines coming online, analysts at Goldman Sachs Group wrote in a report this month.