New Deliverable Shapes Announced For LME Aluminium Alloy Contract

The London Metal Exchange (LME) has today confirmed the introduction of additional deliverable shapes to the aluminium alloy contract, effective on 25 January 2005.

In addition to the ingots currently traded, the contract has been extended to include small sows, large sows and T-bars as deliverable against the contract. Lots and Warrant sizes will remain at 20 tonnes.

The introduction follows a recommendation from the LME’s Aluminium Committee, which includes representation from across the metals industry, and brings the contract into line with the shapes currently traded on the successful NASAAC contract, introduced in 2002.

Commenting on the introduction, Neil Banks, LME Director of Strategy said:

“Our contracts are constantly evolving in response to the needs of industry. The introduction of these new shapes brings consistency across our aluminium alloy contracts, offers greater flexibility for producers and so will enhance the liquidity of the contract.”