Nyrstar, wholly owned by trading and logistics company Trafigura, said it plans to temporarily shut down two zinc mines in Tennessee, which are Gordonsville and Cumberland, at the end of November due to weak prices and the impact of inflation. It is the third shutdown of zinc operations by producers in recent months.

Other Nyrstar operations in the state, the East Tennessee Mines, are still operational. That processing site has an annual capacity of 110,000 tons of concentrates.

According to Morgan Stanley analysts, the closures, along with shutdowns in Ireland and Portugal by other producers, will reduce an expected zinc market surplus in 2024. Nevertheless, they said we would still see surpluses due to weak construction needs.

During the suspension, Nyrstar will conduct drilling operations to seek more zinc, gallium, and germanium resources.