Morocco is Africa's top silver producer. This year, one of its silver mining companies expanded the Zgounder mine to boost production by at least 36% by 2023.

On October 21, during overnight trading on the CME futures market, silver prices hit $34.25 an ounce, the highest since 2012. This surge offers producers greater revenue opportunities.

Morocco stands to gain the most from these rising prices. As the leading silver producer on the continent, the kingdom launched a new processing plant at its Zgounder mine in June. This facility is projected to yield between 2.6 and 3.2 million ounces in 2024, up from 1.9 million ounces in 2023. In Q2 2024, Canadian owner Aya Gold & Silver reported a 42% increase in revenues compared to the previous year.

The price of silver is rising alongside gold, which hit a record high of $2,751.70 an ounce on Monday. Silver, while a safe-haven asset like gold, is less sought after. It benefits from the same factors driving gold prices up, including geopolitical tensions in the Middle East and the upcoming U.S. election. Commonwealth Bank of Australia and Metals Focus’s analysts predict gold could reach $3,000 an ounce by 2025, and silver prices could increase further.

“ We forecast further upside to gold ahead of year-end and into 2025 when the yellow metal has the potential to reach another psychological mark of USD 3,000. Supported by a stabilizing industrial metal sector, silver could potentially do even better [...] which could see it take aim at USD 40 next year,” explains Ole Hansen, head of commodities strategy for Saxo Bank.

Emiliano Tossou

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