South Korea, Asia’s third-biggest consumer of copper, bought a total of 3,000 metric tons of Chilean copper cathodes in tenders, according to notices on the state-run stockpiling agency’s website.
The Public Procurement Service, which stockpiles strategic commodities, purchased the grade-A copper with more than 99.99 percent of purity from LG International Corp. (001120) for delivery by June 15 to Incheon, the notices showed today.
Of the total, the agency bought 1,000 tons at a premium of $98 a ton over the London Metal Exchange official cash settlement price, it showed. Another lot of 2,000 tons was purchased at a premium of $108 a ton, the website showed. The premium includes insurance and shipping costs.
Copper for three-month delivery traded on the LME rose 1 percent to $8,376 per ton at 5:10 p.m. in Seoul. The metal, used in cables, wires and pipes, has gained 10 percent this year.
To contact the reporter for this story: Jae Hur in Tokyo at email@example.com