Concentrates

CPMS offers a separate Concentrates Module which handles the processing of metal concentrates including the following items in addition to the standard physicals contract:

  • Pricing elements with typical/expected assays, splitting limits and QPs,
  • Pricing details (unit deductions, payable percentages),
  • Penalty elements with penalty rates,
  • Delivery periods,
  • Refining charges,
  • Treatment charges,
  • Escalations and participations on pricing terms,
  • Escalations on penalties, refining charges and/or treatment charges, and
  • Umpire rules.

Once known, assays are entered on a lot-by-lot basis and the system produces a provisional invoice. When final assays are exchanged, a final invoice is produced.
The system values concentrates contracts against market terms. The system calculates risk on best-known assay information for risk reporting, valuation and hedging. Concentrates contracts can be reported separately or consolidated with the overall position.

All other standard reports are provided showing the additional concentrates elements. Several concentrates-specific reports are available such as Assay Exchange letters.

The concentrates contracts are fully integrated into all CPMS reporting and functions (risk report, audit trails, trading performance, customer credit exposure, hedging, etc.)