Indium At Your Fingertips; The Go-To Minor Metal For Flat-Panel Displays

June 10, 2013

 

 

Indium Net Demand Per Application

Source: Nyrstar (from Metal Bulletin and Nyrstar research)

 

Investment Opportunities

Since we first wrote about the metal, SMG Indium Resources Ltd. has come on to the scene. (When we wrote last, it had already filed, but because of market conditions, had not yet launched.) With the indium stocks currently held by the Fanya Metal Exchange, any investment in SMG’s indium would need to be made only after considerable deliberation. Any release of those has a good chance of putting The Deluge to shame. And no figures are readily available as to how much indium (if any) may also be held by the China Stainless Steel Exchange in Wuxi, Jiangsu.

Unfortunately things have changed little in the last several years on either the production or the recycling front. AIM Specialty Materials, Exotech and the Indium Corp. remain privately held. And Umicore’s division involved in indium is still just a small part of a very much bigger whole.

For Canada’s Teck Resources Ltd (TCK:US), Dowa Mining (part of Dowa Holdings) of Japan and Korea Zinc, indium production remains a sideline.

Unionmet (Singapore) Ltd (UMS:SP), continues to manufacture and trade indium but in addition to other zinc-based products. And although the company is headquartered in Singapore, its production facilities and R&D divisions are located in Liuzhou, Guangxi, in China.

And for Nyrstar (NYR:BB), with its smart new indium facility at the Auby smelter in northern France, the metal is just a byproduct.

So as for investment opportunities in the metal, unless you’re equipped with knowledge about what those Chinese holders of all that physical metal are going to do with it, then all the usual caveats about investing in the physical metal hold—in spades. And since there are currently really no accessible “pure play” indium companies out there, once again, it is probably worth just keeping an eye on developments in the use of indium and any opportunities that might come up in that field.

 

Resources

AIM Specialty Materials

Indium Corporation

U.S. Geological Survey (USGS)

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