Fastmarkets has launched four implied prices based on the weekly published copper concentrates treatment charge/refining charge (TC/RC) index, with data available from April 2021.
The derived prices are:
MB-CU-0508 copper concentrates TC implied smelters purchase
MB-CU-0509 copper concentrates TC implied traders purchase
MB-CU-0510 copper concentrates RC implied smelters purchase
MB-CU-0511 copper concentrates RC implied traders purchase.
These numbers will be derived from the MB-CU-0287
copper concentrates TC index, cif Asia Pacific, and the MB-CU-0288
copper concentrates RC index, cif Asia-Pacific, which price the mid-point of the market every Friday, and from the MB-CU-0422
copper concentrates counterparty spread, a coefficient
updated at the end of every month to reflect the gap between smelter and trader purchases.
Fastmarkets' index methodology screens outliers and applies a quantity-weighted model to ensure that the copper concentrate index is the most robust in the industry. Fastmarkets has no financial interest in the level or direction of the index.
Specifications for the implied prices, listed below, are consistent with the TC/RC index and the coefficients of counterparty spread and copper value-in-use.
Chemical specifications:
Quality: Cu (%) base 26, max 37, min 18; Au (g/dmt) base 1.1, max 30; Ag (g/dmt) base 75, max 350; S (%) base 32, max 38, min 20; Fe (%) base 28, max 35, min 15; Pb (%) base 0.07, max 4; Zn (%) base 1, max 4; As (%) base 0.17 max 2; Sb (%) base 0.018, max 0.2; Hg (ppm) base 2.5, max 10; Bi (ppm) base 145, max 2,000
Quantity: Minimum 5,000 dry metric tonnes cargo
Location: cif Asia Pacific
Unit: $ per tonne
Publication: Weekly, Friday, before 4pm UK time.
Notes
Listing of the above prices is intended to reflect the differences in business fundamentals faced by copper smelters and traders in copper concentrates procurement.
Since April 2019, Fastmarkets has been publishing the implied smelter and trader purchase TC in our weekly newsletter, alongside our coefficients. This information will now be available via our websites, dashboard or syndicates.
The addition of these prices, which will be published in line with International Organization of Securities Commissions (IOSCO) standards and benchmark regulations, will reinforce Fastmarkets' position as the leading global price reporting agency for the copper concentrates market.
To provide feedback, or if you would like to provide price information by becoming a data submitter to these prices, please contact Julian Luk by email at
pricing@fastmarkets.com. Please add the subject heading 'FAO: Julian Luk, re: implied prices of copper concentrates index.'
To see all Fastmarkets' pricing methodology and specification documents, go to
https://www.fastmarkets.com/about-us/methodology.