This new cash-settled contract is settled against the Fastmarkets MB Standard Grade index, allowing market participants who have exposure to the aforementioned price in their physical contracts, to hedge across the cobalt value chain with no basis risk.  Following extensive engagement with the market, on 11 March 2019, we launched a cash-settled LME Cobalt (Fastmarkets MB) contract, to complement our existing physically-settled offering. The LME launched its physically-settled LME Cobalt contract in 2010, which has been a steady performer amongst a core group of supporters for a physically settled contract.  That said, the LME has also seen growing appetite for a cash-settled contract over recent years with the rise in demand for Electric Vehicles (EVs) and battery metals.  Last year, we consulted the market in order to identify the best risk management solutions. Why is the Exchange launching a new cobalt contract now? The LME has had a cobalt contract since 2010. The prices discovered across the LME’s three trading platforms – the Ring, the inter-office ‘telephone’ market and LMEselect, our electronic trading platform – are used as the global reference price and, both the metal and investment communities use the LME to transfer or take on risk, 24 hours a day. The London Metal Exchange (LME) is the world centre for industrial metals trading. ![]() What is the London Metal Exchange and what does it offer as a platform? ![]()  With the launch of its new cobalt contract, we reached out the LME with some questions that we felt investors and Cobalt 27 shareholders would find interesting. , met with the London Metal Exchange’s Product Development department to discuss their electric vehicle battery materials initiatives. The London Metal Exchange (LME) is the world centre for industrial metals trading. Anthony Milewski, Chairman and CEO, Cobalt 27 Capital Corp.
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