Critical Asset Shortage: Is The Next Inflation Shock Already Here? | M. Colin Joudrie

Copper faces a structural supply deficit due to underinvestment in new mines over the last decade, declining grades at existing operations, and rising demand from electrification, transmission, battery storage, and broader modern economy uses. This supply-demand imbalance is driving prices to new all-time highs, and the current price near $6/lb reflects the incentive price needed to bring new copper into production. Tariff-related stockpiling and negative treatment charges further support the near-term price.

Selkirk Copper Mines (TSX-V: SCMI) is uniquely positioned to benefit from the copper bull market. The company operates a past-producing mine in the Yukon with existing infrastructure (roads, grid power, camp). It is the first publicly traded mining company in Canada where a First Nation (Selkirk First Nation) holds a majority equity stake (22%), providing alignment and expected to derisk the repermitting process. The company has completed a 52,288-meter drill program (largest in Yukon in 10 years) with an 87% success rate, discovering high-grade copper-gold-silver mineralization. Upcoming catalysts include a mineral resource estimate and preliminary economic assessment (mid-2026), a feasibility study (mid-2027), and a targeted production restart in mid-2028. The recent $30 million bought deal financing and strong First Nation participation signal market confidence.