Miners' Price Review "More than just an AI story" Allsop

Research evidence excerpt

Miners' Price Review "More than just an AI story" Allsop

Ding

constraints vs resilient demand from energy transition is unchanged & arguably more Analyst

sharon.ding@ubs.comcompelling after the ME conflict. We acknowledge visible inventories are elevated but

+852-2971 6284

much of this (in US) may not be available to the market and the potential for strategic

stockpiling limits near-term downside in a weaker underlying demand environment. Steve Friedman

Although weaker demand vs resilient smelter output has reduced near-term deficits, we Analyst

steve.friedman@ubs.comremain constructive on the long-term outlook. We have good visibility on limited mine

+27-11-322 7252

supply over the next 1-3yrs (with higher capex & FIDs to impact supply from 2030s) and

expect resilient demand to drive deficits that will erode elevated inventories and support Amy Yi Li

sustainable price upside. Preferred equities: Freeport, First Quantum, Anglo & Teck. Analyst

amy-yi.li@ubs.com

+44-20-7568 2064

Lithium: we remain bullish despite near-term concerns focused on rising battery

George Eadie

inventories, an uncertain supply response and weak China NEV sales. We recently

Analyst

marked-to-market CY26/27e prices down but remain bullish lithium price momentum george.eadie@ubs.com

(note). We remain positive across our lithium equity coverage still seeing strong FCF +1-646-996 4596

yields and valuation support. Top picks: Liontown, IGO & Albemarle.

Dim Ariyasinghe

Uranium equities continue to trade as a "derivative" of the broader AI & energy dim.ariyasinghe@ubs.com

dynamics and have traded down ~10-20% since April despite uranium fundamentals +61-3-9242 6385

getting stronger (note) as reflected in long-term contract prices (now at record highs of Andrew Jones

~$95/lb).