Here's What's New on VC+ in January 2020
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Here’s What’s New on VC+ in January 2020

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If you’re a regular visitor to Visual Capitalist, you know that we’re your home base for data-driven, beautiful visuals that help explain a complex world.

But did you know there’s a way to get an even more out of Visual Capitalist, all while helping support the work we do?

New to VC+ in January 2020

VC+ is our newly launched members program that gives you exclusive access to extra visual content and insightful special features. It also gets you access to The Trendline, our new members-only graphic newsletter.

So, what is getting sent to VC+ members in the coming days?


“Commodities: Explained Through Powerful Visuals”

SPECIAL DISPATCH: 9 Techniques We Use to Make Commodity Markets Easier to Understand

Commodities: Explained Through Powerful Visuals

No two commodities are alike, and each has different market dynamics.

Luckily, visuals such as charts, infographics, and data visualizations can help us approach commodities in a way that helps to improve your understanding of how things fit together.

Whether it’s explaining the special “safe haven” status ascribed to gold or a flow diagram of how energy sources are used, this VC+ feature will dive into the innovative techniques we’ve successfully used to approach topics on energy, metals, and agriculture.

Publishing date: Jan 17 (Get VC+ to access)


“Investing 101: Breaking Down the Basics for Beginners”

SPECIAL DISPATCH: Summing up our best infographic recommendations for new investors

Summing up our best infographic recommendations for new investors

Investing can be a daunting subject for newbies. Luckily, visuals have a powerful way of cutting through the complexity. 

From defining industry terms to visualizing volatility in the market, this VC+ special feature will round up our favorite data-driven graphics to help new investors get started.

Publishing date: Jan 23 (Get VC+ to access)


The Trendline

PREMIUM NEWSLETTER: Our weekly members-only newsletter for VC+ members
The Trendline

Every week, VC+ members also get our premium graphic newsletter, The Trendline.

With The Trendline, we’ll send you the best visual content, datasets, and insightful reports relating to business that our editors find each week.

Publishing Date: Every Sunday


More Visuals. More Insight. More Understanding.

Get access to these upcoming features by becoming a VC+ member.

For a limited time, get 25% off, which makes your VC+ membership the same price as a coffee each month:

Get 25% Off VC+ Today

PS – We look forward to sending you even more great visuals and data!

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Visualizing the Global Silver Supply Chain

Nearly 50% of global silver production comes from South and Central America. Here’s a look at the global silver supply chain.

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silver supply chain

Visualizing the Global Silver Supply Chain

Although silver is widely known as a precious metal, its industrial uses accounted for more than 50% of silver demand in 2020.

From jewelry to electronics, various industries utilize silver’s high conductivity, aesthetic appeal, and other properties in different ways. With the adoption of electric vehicles, 5G networks, and solar panels, the world is embracing more technologies that rely on silver.

But behind all this silver are the companies that mine and refine the precious metal before it reaches other industries.

The above infographic from Blackrock Silver outlines silver’s global supply chain and brings the future of silver supply into the spotlight.

The Top 20 Countries for Silver Mining

Although silver miners operate in many countries across the globe, the majority of silver comes from a few regions.

RankCountry2020 Production (million ounces)% of Total
1Mexico 🇲🇽 178.122.7%
2Peru 🇵🇪 109.714.0%
3China 🇨🇳 108.613.8%
4Chile 🇨🇱 47.46.0%
5Australia 🇦🇺 43.85.6%
6Russia 🇷🇺 42.55.4%
7Poland 🇵🇱 39.45.0%
8United States 🇺🇸 31.74.0%
9Bolivia 🇧🇴 29.93.8%
10Argentina 🇦🇷 22.92.9%
11India 🇮🇳 21.62.8%
12Kazakhstan 🇰🇿 17.32.2%
13Sweden 🇸🇪 13.41.7%
14Canada 🇨🇦 9.31.2%
15Morocco 🇲🇦 8.41.1%
16Indonesia 🇮🇩 8.31.1%
17Uzbekistan 🇺🇿 6.30.8%
18Papua New Guinea 🇵🇬 4.20.5%
19Dominican Republic 🇩🇴 3.80.5%
20Turkey 🇹🇷 3.60.5%
N/ARest of the World 🌎 34.24.4%
N/ATotal784.4100%

Mexico, Peru, and China—the top three producers—combined for just over 50% of global silver production in 2020. South and Central American countries, including Mexico and Peru, produced around 390 million ounces—roughly half of the 784 million ounces mined globally.

Silver currency backed China’s entire economy at one point in history. Today, China is not only the third-largest silver producer but also the third-largest largest consumer of silver jewelry.

Poland is one of only three European countries in the mix. More than 99% of Poland’s silver comes from the KGHM Polska Miedź Mine, the world’s largest silver mining operation.

While silver’s supply chain spans all four hemispheres, concentrated production in a few countries puts it at risk of disruptions.

The Sustainability of Silver’s Supply Chain

The mining industry can often be subject to political crossfire in jurisdictions that aren’t safe or politically stable. Mexico, Chile, and Peru—three of the top five silver-producing nations—have the highest number of mining conflicts in Latin America.

Alongside production in politically unstable jurisdictions, the lack of silver-primary mines reinforces the need for a sustainable silver supply chain. According to the World Silver Survey, only 27% of silver comes from silver-primary mines. The other 73% is a by-product of mining for other metals like copper, zinc, gold, and others.

As the industrial demand for silver rises, primary sources of silver in stable jurisdictions will become more valuable—and Nevada is one such jurisdiction.

Nevada: The Silver State

Nevada, known as the Silver State, was once the pinnacle of silver mining in the United States.

The discovery of the Comstock Lode in 1859, one of America’s richest silver deposits, spurred a silver rush in Nevada. But after the Comstock Lode mines began declining around 1874, it was the Tonopah district that brought Nevada’s silver production back to life.

Tonopah is a silver-primary district with a 100:1 silver-to-gold ratio. It also boasts 174 million ounces of historical silver production under its belt. Furthermore, between 1900 and 1950, Tonopah produced high-grade silver with an average grade of 1,384 grams per tonne. However, the Second World War brought a stop to mining in Tonopah, with plenty of silver left to discover.

Today, Nevada is the second-largest silver-producing state in the U.S. and the Tonopah district offers the opportunity to revive a secure and stable source of primary silver production for the future.

Blackrock Silver is working to bring silver back to the Silver State with exploration at its flagship Tonopah West project in Nevada.

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A Complete Visual Guide to Carbon Markets

Carbon markets are booming. But how do they work? In this infographic, we show how carbon markets are advancing corporate climate ambitions.

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Carbon Markets

A Complete Visual Guide to Carbon Markets

Carbon markets enable the trading of carbon credits, also referred to as carbon offsets.

One carbon credit is equivalent to one metric ton of greenhouse gas (GHG) emissions. Going further, carbon markets help companies offset their emissions and work towards their climate goals. But how exactly do carbon markets work?

In this infographic from Carbon Streaming Corporation, we look at the fundamentals of carbon markets and why they show significant growth potential.

What Are Carbon Markets?

For many companies, such as Microsoft, Delta, Shell and Gucci, carbon markets play an important role in offsetting their impact on the environment and meeting climate targets.

Companies buy a carbon credit, which funds a GHG reduction project such as reforestation. This allows the company to offset their GHG emissions. There are two main types of carbon markets, based on whether emission reductions are mandatory, or voluntary:

Compliance Markets:
Mandatory systems regulated by government organizations to cap emissions for specific industries.

Voluntary Carbon Markets:
Where carbon credits can be purchased by those that voluntarily want to offset their emissions.

As demand to cut emissions intensifies, voluntary carbon market volume has grown five-fold in less than five years.

Drivers of Carbon Market Demand

What factors are behind this surge in volume?

  • Paris Agreement: Companies seeking alignment with these goals.
  • Technological Gaps: Companies are limited by technologies that are available at scale and not cost-prohibitive.
  • Time Gaps: Companies do not have the means to eliminate all emissions today.
  • Shareholder Pressure: Companies are facing pressure from shareholders to address their emissions.

For these reasons, carbon markets are a useful tool in decarbonizing the global economy.

Voluntary Markets 101

To start, there are four key participants in voluntary carbon markets:

  • Project Developers: Teams who design and implement carbon offset projects that generate carbon credits.
  • Standards Bodies: Organizations that certify and set the criteria for carbon offsets e.g. Verra and the Gold Standard.
  • Brokers: Intermediaries facilitating carbon credit transactions between buyers and project developers.
  • End Buyers: Entities such as individuals or corporations looking to offset their carbon emissions through purchasing carbon credits.

Secondly, carbon offset projects fall within one of two main categories.

Avoidance / reduction projects prevent or reduce the release of carbon into the atmosphere. These may include avoided deforestation or projects that preserve biomass.

Removal / sequestration projects, on the other hand, remove carbon from the atmosphere, where projects may focus on reforestation or direct air capture.

In addition, carbon offset projects may offer co-benefits, which provide advantages that go beyond carbon reduction.

What are Co-Benefits?

When a carbon project offers co-benefits, it means that they provide features on top of carbon credits, such as environmental or economic characteristics, that may align with UN Sustainable Development Goals (SDGs).

Here are some examples of co-benefits a project may offer:

  • Biodiversity: Protecting local wildlife that would otherwise be endangered through deforestation.
  • Social: Promoting gender equality through supporting women in management positions and local business development.
  • Economic: Creating job opportunities in local communities.
  • Educational: Providing educational awareness of carbon mitigation within local areas, such as primary and secondary schools.

Often, companies are looking to buy carbon credits that make the greatest sustainable impact. Co-benefits can offer additional value that simultaneously address broader climate challenges.

Why Market Values Are Increasing

In 2021, market values in voluntary carbon markets are set to exceed $1 billion.

YearTraded Volume of Carbon Offsets (MtCO₂e)Voluntary Market Transaction Value
201746$146M
201898$296M
2019104$320M
2020188$473M
2021*239$748M

*As of Aug. 31, 2021
Source: Ecosystem Marketplace (Sep 2021)

Today, oil majors, banks, and airlines are active players in the market. As corporate climate targets multiply, future demand for carbon credits is projected to jump 15-fold by 2030 according to the Task Force on Scaling Voluntary Carbon Markets.

What Qualifies as a High-Quality Carbon Offset?

Here are five key criteria for examining the quality of a carbon offset:

  • Additionality: Projects are unable to exist without revenue derived from carbon credits.
  • Verification: Monitored, reported, and verified by a credible third-party.
  • Permanence: Carbon reduction or removal will not be reversed.
  • Measurability: Calculated according to scientific data through a recognized methodology.
  • Avoid Leakage: An increase in emissions should not occur elsewhere, or account for any that do occur.

In fact, the road to net-zero requires a 23 gigatonne (GT) annual reduction in CO₂ emissions relative to current levels. High quality offsets can help meet this goal.

Fighting Climate Change

As the urgency to tackle global emissions accelerates, demand for carbon credits is poised to increase substantially—bringing much needed capital to innovative projects.

Not only do carbon credits fund nature-based projects, they also finance technological advancements and new innovations in carbon removal and reduction. For companies looking to reach their climate ambitions, carbon markets will continue to play a more concrete role.

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