Mick Davis, former CEO of Xstrata and now head of the X2 mining investment fund, believes commodity prices may be bottoming out and sees potential buying opportunities opening up this year.
“I think this year seams to me a year when deals will be done,” he said at the FT Commodities Global Summit in Switzerland, adding that zinc and copper were attractive assets to invest in.
X2 has secured billions of dollars of funds from backers including Noble Group and private equity firm, TPG, and could supplement this with debt funding to do deals.
Coal could also be on Davis’ hit list despite the fact that the fuel was “at the lowest ebb in terms of investor confidence”.
“There are [coal] assets there in the right geographies that can supply the right markets, which could well be interesting,” he concluded.
Written by Jonathan Rowland.
Read the article online at: https://www.worldcoal.com/mining/28042015/davis-eyes-2015-as-a-year-for-deals-with-coal-a-possible-investment-2217/