Aurubis to offer a $96 tonne copper premium for 2019

Reuters | October 1, 2018 | 10:45 am Base Metals Europe Copper

Copper price loses steam as factory activity slows in Europe and Asia

Reference photo from maxpixel.freegreatpicture.com.

HAMBURG, Oct 1 (Reuters) – Aurubis, Europe’s biggest copper smelter, will offer 2019 copper premiums to its customers of $96 per tonne, the company said on Monday, confirming earlier reports from traders.

This compares to $86 per tonne in both 2018 and 2017.

The premium is paid by customers above the London Metal Exchange (LME) copper prices.

“I think the increase shows the positive state of market demand for copper,” one trader said.

Chilean copper giant Codelco has agreed some deals with premiums at $98 for European customers for next year, while some Chinese customers have agreed to pay $88 a tonne, market sources said.

But these prices are not benchmarks, sources say, as Codelco is negotiating separately with all customers.

(Reporting by Michael Hogan; Additonal reporting by Pratima Desai)