Spot Premiums Rose as Expected, with Slight Consumption Recovery Nearing the Weekend [SMM Shanghai Spot Copper]

Published: Feb 28, 2025 13:30 (GMT+8)

Save

[SMM Spot Copper] During the day, mainstream standard-quality copper was quoted at a discount of 120-100 yuan/mt against the front-month contract, while high-quality copper was quoted at a discount of 100-80 yuan/mt. Suppliers raised their offers further compared to yesterday. Although some companies faced month-end settlement and payment collection needs, overall market transactions remained robust. Influenced by destocking in surrounding regions and increased exports, suppliers were reluctant to sell their inventories. Spot premiums are expected to rise further next Monday.

SMM, February 28:

Today, spot #1 copper cathode was quoted at a discount of 120-80 yuan/mt against the SHFE 2503 contract, with an average price at a discount of 100 yuan/mt, up 5 yuan/mt from the previous trading day. Standard-quality copper was traded at 76,760-76,880 yuan/mt, while high-quality copper was traded at 76,780-76,900 yuan/mt. The SHFE copper 2503 contract opened higher but moved downwards during the morning session, fluctuating around 76,900 yuan/mt before dropping to 76,770 yuan/mt by the end of the morning session. The price spread between the SHFE copper 2503 and 2504 contracts fluctuated at C100-C140 yuan/mt.

Spot premiums rebounded as expected during the day, and overall transactions improved compared to the previous day. At the beginning of the session, suppliers quoted mainstream standard-quality copper with invoices dated next month at a discount of 100-80 yuan/mt, while high-quality copper with invoices dated next month was quoted at a discount of 80-70 yuan/mt. Some downstream stocking demand for the weekend emerged. During the main trading session, mainstream standard-quality copper with invoices dated next month was traded at a discount of 120-100 yuan/mt, and high-quality copper with invoices dated next month was traded at a discount of 100-80 yuan/mt. Hydro copper with invoices dated next month was traded at a discount of around 220 yuan/mt. By 11:00 a.m., the market's trading center had stabilized.

Suppliers raised their offers further compared to the previous day. Although some companies faced month-end settlement and payment collection needs, overall market transactions remained robust. Influenced by destocking in surrounding regions and increased export volumes, suppliers were reluctant to sell their inventories. Spot premiums are expected to rise further next Monday.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or for more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

11 hours ago

SHFE: Approves Jinchuan Group Co., Ltd. to increase the registered production site for “JNMC” brand Grade A copper (permanent cathode-K)

11 hours ago

[SMM Announcement] Chinese Market Metal Prices and News Updates Suspended during National Day Holiday (Oct 1-7)

11 hours ago

Koryx Copper Completes Haib PFS Drilling, Targets Updated Resource and PFS by Year-End

Koryx Copper has completed its infill and expansion drilling programme at the wholly owned Haib Copper Project in southern Namibia, advancing the project toward an updated Mineral Resource Estimate (MRE) and Pre-Feasibility Study (PFS) targeted for publication before the end of 2026. The company reported assay results from a further 18 drill holes totalling 7,074 metres. Among the latest results, hole HM199 returned 438 metres grading 0.40% copper equivalent (CuEq), including 224 metres at 0.51% CuEq. Hole HM193 returned 681 metres at 0.34% CuEq, including 22 metres at 0.71% CuEq and 169 metres at 0.40% CuEq. Koryx said the results continued to demonstrate wide mineralised intercepts across the Haib deposit, together with higher-grade zones closer to surface in some areas. The company said the results broadly correlate with its existing geological model, while the completed drilling programme will feed into geological modelling and estimation work for the updated resource estimate and PFS. Haib is a large disseminated porphyry copper-molybdenum-gold deposit. Koryx currently envisages developing the project as a large-scale open-pit operation using conventional sulphide milling and flotation to produce copper and molybdenum concentrates. The latest drilling follows Koryx's March 2026 Mineral Resource Estimate, which reported 744 million mt of Indicated material grading 0.28% copper, containing approximately 2.09 million mt of copper, and 579 million mt of Inferred material grading 0.24% copper, containing approximately 1.39 million mt of copper, using a 0.15% copper cut-off. Koryx said the updated MRE and PFS remain on track for publication before the end of 2026. Completion of the PFS drilling programme marks another step in Koryx Copper's advancement of Haib toward a potential large-scale copper development. The latest drilling continues to show broad mineralised intervals, while the upcoming updated resource estimate will provide greater clarity on whether recent infill and expansion drilling has materially changed the project's resource base. Attention will now turn to the updated MRE and PFS expected before year-end, which should provide further detail on the proposed mine configuration, processing strategy, production profile and project economics.

11 hours ago