South Korea's PPS Buys 5,000 Tons Aluminum In Tenders

SINGAPORE, Sep 16, 2011 (Dow Jones) -- South Korea's Public Procurement Service, a state commodities stockpiling agency, said Friday that it bought a total of 5,000 metric tons of aluminum from three suppliers in two tenders.

In the first, PPS bought 2,000 tons of non-western origin aluminum, of which STX Corp. (011810.SE) will supply 1,000 tons at a premium of $117/ton over the London Metal Exchange price on a cost, insurance and freight basis. LG International Corp. (01120.SE) will supply 1,000 tons at a premium of $109/ton.

In the second tender for 3,000 tons of western origin metal, PPS bought 1,000 tons from STX Corp. at a 113/ton premium, 1,000 tons from LG International Corp. at a $114/ton premium and 1,000 tons from BHP Billiton Marketing AG at $118 over the LME price. The suppliers must ship the metal by Nov. 30.

Three-month aluminum opened at $2,376/ton on the LME Friday.