Copper is now trading 50% below 2010 high. We recommend buying OZ Minerals as a proxy for long copper and gold. OZ Minerals has an expanding production profile as the Carrapateena copper-gold mine in South Australia comes online.
OZ Minerals is under Algo Engine buy conditions and is a current holding in our ASX 100 model.
OZL generates solid cashflow from established copper production and the company maintains a defensive balance sheet. There’s upside for investors as the new Carrapateena development project is de-risked in FY20.