Chinese copper smelters may get up to 20 pct higher TC/RC in 2015

miércoles 29 de octubre de 2014 03:58 GYT

* Term 2015 TC/RC to China at $100-$110/T, 10-11 c/lb -smelters

* Smelters, miners to meet next month

* Codelco to buy 300,000 T standard concentrates for 2015 - source

By Polly Yam

HONG KONG, Oct 29 (Reuters) - China's copper smelters may be paid between 9 percent and 20 percent more in fees for processing raw material concentrate next year by global miners, reflecting higher world mine production, executives at smelters and traders said.

Chinese smelters expect the benchmark treatment and refining charges (TC/RC) for term shipments of clean, standard copper concentrate to rise to $100-110 per tonne and 10-11 cents per pound in 2015 from $92 and 9.2 cents in 2014.

TC/RCs are paid to smelters by sellers to convert concentrate into refined metal and are deducted from the smelters' purchase prices. As the supply of concentrate increases, the demand for smelting capacity and the charges also rise, translating into higher profits for smelters.

Mine output is estimated to rise 8.6 percent year-on-year in 2015, according to Reuters' data.

Chinese smelters had earlier expected the 2015 TC/RC at about $115 and have lowered expectations slightly after discussions with global miners in the LME Week in London last week. Miners had not put forward any number in the discussions, smelter executives said.   Continuación...