Mining and metals companies operating in Europe are set to remain in recovery mode, as a sluggish recovery in mineral prices keep investment activity subdued, while environmental regulations will pose headwinds for coal-producing countries.
BMI Research said on Thursday that mineral prices were unlikely to recover over the coming quarters, citing a drop in Chinese demand owing to an economic slowdown in that country. Poor short- to medium-term growth prospects in Europe’s two mining powerhouses, Ukraine and Russia, over the next five years would further hinder mining development in the region.
