Categories: General Market Commentary
Topics: General Market Commentary

Digitizing the Multi-$Trillion Commodity Supply Chain Sector

MineHub Technologies Inc. (TSX-V: MHUB)(OTC: MHUBF) — currently trading around C$0.20 per share — is focused on delivering a first-of-its-kind digital solution to the multi-$trillion commodities supply chain sector. 

The company has partnered with some of the largest players in the space to build out its blockchain-based network across a multitude of entities involved in the mining, refining, storing, transporting, and trading of various commodities.

MineHub was founded in 2018 with syndicate members that included Goldcorp, ING Bank, and Wheaton Precious Metals. And it collaborated with IBM in 2019 to build the MineHub platform. Since then, it has commercially contracted with:

  • BHP (The largest mining company in the world by market cap)
  • Sumitomo (One of the largest global trading companies)
  • Southwire (#1 cable and wire producer in North America)
  • Superior Essex (#1 magnet wire producer in North America)
  • Port Panama City (#1 metals port in North America)
  • Perennial (#1 aluminum distributor in North America)
Check out our latest free research reports for in depth analysis on specific market trends. View Reports

Based on blockchain technology, the platform — or Hub — connects the many parties involved in a physical commodity transaction to a digitally integrated workflow operating on the basis of shared information.

Based on blockchain technology, the platform — or Hub — connects the many parties involved in a physical commodity transaction to a digitally integrated workflow.

The platform incorporates contracts, shipments, inventories, and other key inputs — including ESG compliance — and securely ties them all together and organizes them with Application Programming Interfaces (APIs). Blockchain infrastructure is used to maintain transparency in the flow of transactive data.

There are additional add-on applications including Trade Management, Trade Finance, and ESG already live with more applications on the way.

You can check out the entire platform or book a demo here.

The company generates revenue from subscription fees for the platform, usage fees for enterprise applications, and revenue share agreements.

In March, MineHub combined with Waybridge Technologies, one of its leading counterparts in the space. The two entities — now one combined synergistic operation — essentially meet up in the middle of the commodities transaction cycle. 

Digitizing the Multi-$Trillion Commodity Supply Chain Sector.

While MineHub focuses on the downstream side of the business (with a current focus on copper, aluminum, and steel mining and smelting), Waybridge’s platform is more on the upstream side of the equation, starting with refined metals and working its way upward toward the smelters and the mining companies themselves.  

Check out our premium publications for more trading recommendations and exclusive coverage on the markets. View Publications

In 2022, Waybridge customers — which include Southwire and Superior Essex, as well as major miners, warehouses, and shipping companies — managed more than $7B of raw materials through the platform.
The combined entity, and its extended user base with more than 100 companies, will continue to operate under the MineHub corporate structure.

Upon announcing the deal, MineHub Technologies CEO Arnoud Star Busmann neatly summarized the combined operation:

“Minehub launched with a strong focus on connecting sales operations within mining companies to their customers for bulk commodities such as iron ore and metal concentrates. Waybridge started from the manufacturing side, connecting procurement operations with their metal suppliers. Both companies are working with industry leaders — Waybridge more focused in North America, and Minehub in Asia. The combination instantly realizes an end-to-end global solution for the full supply chain from mine to market. Both platforms have been adopted by industry leaders that have the scale to influence market practices. We have the potential to significantly reduce timelines to reach critical mass and become an industry standard, creating network value for our customers...”

For an even closer look, our own Gerardo Del Real of Junior Resource Monthly sat down with MineHub Technologies executive chairman Vince Sorace to go over the company’s first-mover advantage and strategy for achieving critical mass in the space. Please enjoy!

For additional information on Vancouver-based MineHub Technologies Inc., be sure to contact the company’s IR department here. 

Sign up to receive updates directly from the company at the MineHub corporate website and view the 2023 Corporate Presentation here.

Mike Fagan

Mike Fagan
Editor, Resource Stock Digest