METALS-Copper rises on supply woes, but firm dollar caps gains

Oct 7 (Reuters) - Copper prices rose on Tuesday on supply disruption concerns, although a stronger U.S. dollar kept gains in check.

Three-month copper on the London Metal Exchange CMCU3 added 0.1% to $10,666 per metric ton at 0147 GMT.

On Monday, the red metal hit its highest since May 2024 before easing later in the day.

Miner Freeport FCX.N said on Sunday that five workers, missing since a mud flow disaster at the Grasberg copper and gold mine in Indonesia last month, were found dead.

As the world's second-largest copper mine, Grasberg accounts for 3% of global concentrate production.

Operational suspensions at Grasberg, coupled with disruptions at Kamoa-Kakula in the Democratic Republic of Congo and El Teniente mine in Chile, suggest supply concerns are likely to persist this year.

Analysts estimate the disruptions could result in a loss of 591,000 tons of copper output between September 2025 and 2026 end, prompting Goldman Sachs, Citi and Bank of America to raise their price forecasts.

Chile's output fell 9.9% year-on-year in August after an accident at Codelco's flagship mine on July 31.

Meanwhile, the dollar index .DXY extended gains against its rivals. A stronger dollar makes greenback-denominated assets more expensive for holders of other currencies. FRX/

Among other London metals, aluminium CMAL3 fell 0.3% to $2,715.50 a ton, nickel CMNI3 eased 0.3% to $15,430, lead CMPB3 slipped 0.3% to $1,998.5, tin CMSN3 lost 0.1% to $36,535, while zinc CMZN3 rose 0.1% to $3,010.

Chinese markets are closed from October 1 to 8 for the Golden Week holiday.

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