BMO Metals Brief

Research evidence excerpt

BMO Metals Brief

May 13, 2026

Global Commodities

BMO Metals Brief Global Commodities

Helen Amos Analyst

helen.amos@bmo.com +44 (0)20 7664 8180

 New Report on diesel and costs: We have published a new report “Sizing Up the Diesel Issue

(and Other Supply Worries)” to help quantify the scale of the diesel issue faced by the mining George Heppel Analyst

industry in terms of volumes and costs. Margin analysis suggests gold and copper, followed by george.heppel@bmo.com +44 (0)20 7664 8106

iron ore, come well above coal and nickel in ability to bid for (and absorb) more costly diesel

Alona Yunda Senior Associate units. We identify fourth quartile regions most at risk of curtailments in iron ore, coal and nickel,

including assets in India, Brazil, Australia, Mongolia and Indonesia, with less risk in China given alona.yunda@bmo.com +44 (0)20 7664 8122

diesel self-sufficiency. Cost support and supply adjustments could increasingly emerge as a Abigail Knight Senior Associate

source of price support in these commodities, especially amid broader cost and FX pressures. We abigail.knight@bmo.com +44 (0)20 7246 5448

also collate all recent comments on cost and volume effects made by mining companies under

BMO coverage, with estimates (~3-15%) generally lower than what would be implied by historic Legal Entity: BMO Capital Markets Limited

cost sensitivities.

LME Index (LMEX)  Codelco copper production under scrutiny: Chilean economic newspaper, Diario Financiero, has

6,000

reported that Codelco may have overstated its December 2025 copper production report by 5,900

~20kt, with an internal audit finding a senior executive had authorised the inclusion of volumes 5,800

that didn’t meet the company’s criteria for finished product. While this doesn’t change the actual 5,700