Platts proposes to launch daily EQ copper cathode premium assessment

Platts, part of S&P Global Commodity Insights, proposes to launch a daily Equivalent Quality grade A (EQ) copper cathode premium assessment basis CIF China, effective April 1.

EQ copper cathodes refer to those that meet grade A copper cathode specifications as described by the London Metal Exchange but are not registered with the exchange and cannot be delivered to exchange warehouses.

EQ cathodes are mainly produced in the Democratic Republic of Congo, with a smaller quantity produced in Chile.

Platts has observed growing demand and seaborne trade for EQ cathodes, particularly delivered to China. Over January-November 2024, China imported 1.32 million mt of copper from DRC, up 66% year over year. This volume accounted for 33% of China's total copper imports in 2024, which also increased 21% year over year, China customs statistics showed.

The proposed new assessment and associated monthly average would complement Platts' existing copper cathode and concentrate assessments and provide further pricing transparency to the copper market. The assessed premium would reflect generic EQ quality cathode and may be normalized where relevant, such as for timing and quotation period adjustment. Platts considers the base month as calendar month plus one, rolling on the first business day of the month.

The proposed assessment would reflect the following specifications:

Additionally, Platts would launch a calculated monthly average for its existing daily CIF China copper premium assessment for LME-registered grade A cathode (MMAMK00) on April 1.

Platts spot price assessments consider market information reported to Platts and published throughout the day, including firm bids and offers, transactions and indications, as well as any other data deemed relevant to the assessment process.

Market information received before the 4:30 pm Singapore (0830 GMT) timestamp would be considered for the assessment.

A full description of Platts assessments methodology can be found here(opens in a new tab).

Details of Platts copper assessments can be found here: Specifications Guide Global Nonferrous Metals(opens in a new tab) | S&P Global Commodity Insights

The proposed assessment would be published in pages MTL0106, PMA0106, MTL0419 and PMA0419 of Platts Nonferrous Metals Alert, Platts Metals Daily, and in the Platts price database.

Platts invites feedback, comments and questions on this proposal to platts_asia_copper@spglobal.com and pricegroup@spglobal.com by Feb. 26.

For written comments, please provide a clear indication if they are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make those not marked as confidential available upon request.