The mining industry is ending the year strongly, with evident upward trends for key activities such as exploration, financing and M&A, with the industry's market capitalization and commodity prices increasing for much of 2017, after a period of stabilization in 2016.
[S&P Global Ratings Report]:
Industry Top Trends 2018: Metals and Mining
According to the Industry Top Trends 2018: Metals and Mining report by S&P Global Ratings, "The outlook for upstream producers has generally improved, with a modestly positive rating bias for 2018. We expect the focus on financial prudence - particularly among the largest globally diversified miners - to persist into 2018 amid what our base case assumes to be a (continuing) generally supportive price environment. For global downstream producers, we expect relatively flat conditions on average, albeit with regional variation."
Gain strategic insights into 2018 Credit Outlook for the Metals and Mining industry.
[Insight]: How Would China Potentially Shape the Mining Industry in 2018?
There has been a revival in the price of most metals this year. The drivers for this improvement are allied with China's macroeconomic story — robust credit expansion, environmentally minded processing and residential construction.
[Insight]: Mining sector ending year strongly
The mining industry is showing clear signs of increasing health. This was particularly evident during the September quarter in the exploration sector, as measured by S&P Global Market Intelligence's Pipeline Activity Index, which is a measure of exploration and development activity. After what had been a poor start to 2017, the Pipeline Activity Index, or PAI, has returned to the level of the final quarter of 2016. This improvement was driven mostly by an increase in drilling activity, with the number of distinct projects reporting drill results rising nearly 9% from 456 in the June quarter, itself up 45% from the previous period, to 496 projects.
Gain the latest insights into the state of mining.
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