The AI capex cycle is a metals story before it is a semiconductor story. The bill of materials points to copper, aluminium and silver first.
The AI capex cycle is a metals story before it is a semiconductor story. The bill of materials points to copper, aluminium and silver first.
The IEA's 2024 analysis of data-centre electricity use projected that global demand from data centres, AI and cryptocurrencies could roughly double by 2030. Grid operator commentary through 2025 and 2026 has broadly agreed with that direction.
That electricity does not deliver itself. It requires transmission, transformers, switchgear and cooling, all of which are metal-intensive.
Diversified base-metals producers with copper and aluminium exposure are the most direct beneficiaries. Silver, through its role in high-efficiency electronics and PV, is a quieter but real second-order winner.
It requires transmission, transformers, switchgear and cooling, all of which are metal-intensive.
| Stage | Value (US$/oz) |
|---|---|
| Q1 low | 1180 |
| Median | 1465 |
| Q3 high | 1720 |
| Marginal | 1985 |
Reported AISC for the producers covered by the markets desk this quarter.
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Reserve evaluations, licensing changes and market notes, sent when the file moves. No promotional mail.