SHANGHAI, Feb. 12 -- According to a source familiar with the matter, negotiations for annual processing fees between Korea Zinc and Teck Cominco are underway, and with agreement expected to reach in late February. One official from Korea Zinc confirmed the news, saying negotiations result will be likely released after Chinese New Year holiday, and may come out before the holiday if everything goes smoothly.

Market players expect 2010 TC of lead concentrate will drop from 2009 levels of USD 210/mt to USD 200/mt.

(Edited by SMM)