Soaring power prices amid Europe’s gas crunch will have a lasting impact on the bottom lines of mining and metal companies as prices in their long-term electricity supply contracts will increase, an executive at a Swedish metals producer told Bloomberg on Friday. “Contracts will have to be renewed sooner or later. However they are written, you will eventually get hurt because of the situation in the market,” Mats Gustavsson, vice president for energy at Sweden’s metals producer Boliden, told Bloomberg in an interview. “If you are exposed to the market, the operational expenses have of course increased,” Gustavsson said. As companies mining and processing metals are looking to cut their carbon footprint, they electrify some processes and use more electricity. However, soaring electricity prices will hike their operating costs, diminishing profit margins. The price spikes and volatility are here to stay, according to Boliden’s Gustavsson, who says that metal […]