『Abstract
Mineral supply is controlled by a feedback mechanism. When there
is a shortage of a commodity in a market economy, prices will
rise, triggering this mechanism. The expectation of high financial
returns will encourage inventiveness and creativity in the quest
for new solutions. On the supply side, for primary resources,
the appropriate response is to cut losses in the mining process,
to lower the cut-off grade, to improve recoveries in the beneficiation
and smelting processes, to expand existing production facilities,
and to discover and bring into production new deposits. For secondary
resources, the key to increasing the supply lies in improving
recycling rates by better technology, reprocessing lower-grade
scrap which becomes economic because of increased prices, and
reducing downgrading to optimize the usefulness of secondary materials.
On the demand side, implementation of new and more efficient processes,
development of substitution technologies, material savings, and
the invention of entirely new technologies that fulfill the same
function without the need of using the scarce and suddenly more
expensive material are effective reactions to a price rise. The
effectiveness of this self-regulating mechanism can be shown by
examples of historical price peaks of metals, such as Mo, Co,
and Ta, and the current rare earth elements peak. Concerning supply
from secondary resources, a model is developed in order to determine
how far the supply from this resource domain can be achieved and
how the recycling rate is influenced by growth rate and lifetime.
The feedback control cycle of mineral supply is influenced on
the demand side by ever shorter life cycles, by products getting
more complex with ever more elements involved in their production,
and by an increase in element dispersion. All these factors have
an immediate effect on the feasibility of sourcing raw materials
from the technosphere. The supply side of primary materials is
influenced by increasing lead times for new production and by
relatively low flexibility in responding to changing demand.
Keywords: Mineral supply; Feedback cycle; Metal markets; Criticality;
Supply risk』
Introduction
Fundamental principles of the feedback control cycle of mineral
supply
Functioning of the feedback control cycle of mineral supply
Principle
Example: tantalum price peak at the end of the 1970s
Developments influencing market reaction times
Trends on the demand side
Trends on the supply side
Trends in the field of secondary materials of the technosphere
Trends in the field of primary materials of the geosphere
Conclusion and outlook
Acknowledgments
References