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LME issues first cobalt warrants

13 May 2010

The London Metal Exchange has issued the first warrants based on its new cobalt contracts, introduced on February 22.

Read more: LME cobalt warrant minor metals

The five-tonne warrants were issued in Rotterdam. A holder of a long contract that is not closed out before delivery receives an LME warrant. This proves ownership of metal stored in an LME warehouse.

Cash trading for the minor metals contracts will begin on May 19.

“For the contract to be successful the market needs to be comfortable delivering cobalt on to LME warrant and taking it off warrant. This is the first step in that process,” said Chris Evans, the LME’s head of business development. 


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