The initial consultation, which ended on July 1, invited comments on extending the delivery window to six weeks.
The current methodology reflects cargoes sold on a cif basis for delivery to the main Japanese ports of Yokohama, Nagoya and Osaka within four weeks from the date of the transaction.
So far, Fastmarkets has received positive feedback from the market about the delivery window, but due to the ongoing complex negotiations for the MJP third-quarter premium, Fastmarkets is extending the consultation period by a further four weeks to ensure all active participants have time to respond.
The specification is as follows, with the proposed change in bold:
MB-AL-0343 Aluminium P1020A (MJP) spot premium, cif Japan, $/tonne
Quality: P1020A or 99.7 % Minimum Al purity (Si 0.10% max, Fe 0.20% max) in line with LME specifications. Ingot, T-bar, sow
Quantity: Min 100 tonnes
Location: cif in main Japanese ports at Yokohama, Nagoya and Osaka, premium on top of LME cash prices
Timing: Within 6 weeks
Unit: USD/tonne
Payment terms: Cash against documents (2 days after Bill of lading date)
Publication: Twice weekly. Tuesday and Friday by 4pm London time
Notes: Excluding metal from LME warehouses and metal subject to international sanctions. Assessed by Fastmarkets’ Singapore office
There are no other proposed changes to the specifications of the assessment, either on a spot or quarterly basis.
The consultation period will now end on Wednesday July 29 with changes to be implemented for the Friday July 31 assessment, subject to the result of the consultation.
To provide feedback on this proposal (or if you would like to provide price information by becoming a data submitter to these assessments) please contact Karen Ng or Alice Mason by email at pricing@fastmarkets.com. Please add the subject heading FAO: Karen Ng / Alice Mason, re: Aluminium P1020A (MJP) delivery window.
To see all of Fastmarkets’ pricing methodology and specification documents, go to https://www.fastmarkets.com/about-us/methodology.