LONDON METAL EXCHANGE
GRADE A COPPER BRAND APPLICATION

A TWO STAGE PROCESS

Stage One

Metal Registration reviews a producer’s brand application papers and works with the producers until all documentation fully meets LME requirements.

The producer’s application is submitted to LME personnel, via the producer’s appointed LME Member Company.

LME personnel review the application, revert, if necessary, and submit the application to its Copper Committee for approval.

Stage Two

Once committee approval is given, LME personnel advise the producer that Stage Two procedures (ie. the formal testing of the producer’s Grade A copper cathodes) can commence.

Metal Registration liaises with the producer concerning the arrangements to

• ship three x 200mt test parcels of it’s Grade A production to the three nominated testers
• appoint a Listed Sampler and Assayer to undertake random selection of the parcels if required

Upon completion of Stage Two testing, LME personnel review all documentation received from the testers and  Sampler and Assayer.

Subject to all documentation being in order, LME personnel submit the documentation to the Copper Committee for review. Upon receiving its approval, LME personnel recommend to its Executive Committee (EXCOM) that the brand be approved for listing.

Upon EXCOM granting approval, LME personnel issue a Notice to its Members confirming that the brand is Good Delivery, under its Grade A Copper Contract.

THE LONDON BULLION MARKET ASSOCIATION (LBMA)
GOLD AND SILVER BAR APPLICATIONS

A THREE STAGE PROCESS

Stage One

Metal Registration reviews a refiner’s brand application papers and works with the refiner until all documentation fully meets LBMA requirements.

The refiner’s application is submitted to the LBMA’s Chief Executive.

LBMA personnel review the application, revert if necessary, and submit the application to its Physical Committee for approval.

Stage Two

Once Committee acceptance has been given, the LBMA advise the refiner that Stage Two procedures (ie. the examination of its assaying capability) can commence.

Metal Registration liaises with the refiner and the LBMA concerning arrangements to ensure that

• the refiner receives reference samples for analytical testing purposes
• the LBMA receives the analytical report in the correct format from the refiner

The LBMA confirms to the refiner whether it has passed its analytical capability test.

Stage Three

Subject to passing this test, the LBMA instructs the refiner to submit its gold bars for inspection, testing and sampling.

Metal Registration liaises with the refiner and the LBMA concerning arrangements to ensure that

• the refiner ships its bars to the London vault

The LBMA, upon receiving satisfactory feedback from appointed referees, concerning the inspection of an applicant’s bars, confirm to the refiner that the bars can now undergo sampling and analysis procedures.

Subject to the LBMA receiving positive feedback from the referees, the LBMA submits its results to the Physical Committee for review.

Subject to a satisfactory review by the Physical Committee, the LBMA issues a Notice confirming that the refiner can be included in its list of Good Delivery Gold refiners.

THE CHICAGO MERCANTILE EXCHANGE (COMEX/NYMEX)
GOLD AND SILVER BAR APPLICATIONS

A ONE STAGE PROCESS

Stage One

Metal Registration reviews a refiner’s brand application papers and works with the refiner until all documentation fully meets CME’s requirements.

It is important to ensure that the following third party data is also included:

• Sampling and Analysis reports and certificates from two independent exchange approved Samplers and Assayers.
• Engineering report from an independent licensed engineer.
• Two letters of recommendation from industrial consumers.
• Nomination of an Agent for Service of Process.
• Service of Process Agent’s confirmation.
• Legal Counsel’s opinion.

The producer’s application is submitted direct to CME personnel based in Chicago.

CME personnel review and evaluate the application and revert.

Subject to documentation satisfying requirements, CME request internal committee approval.

Subject to receiving approval, CME notify COMEX Board of Governors and the US Commodities & Futures Trading Commission (CFTC).

Subsequently, CME issue a letter of approval and industry notification confirming the brand is Good Delivery.

THE SHANGHAI FUTURES EXCHANGE (SHFE)
COPPER, ALUMINIUM AND SILVER BRAND APPLICATIONS

A FOUR STAGE PROCESS

Stage One

Metal Registration reviews a producer’s brand application papers and works with the producer until all documentation fully meets SHFE requirements.

The producer’s application is submitted direct to SHFE personnel.

SHFE personnel review the application, revert and submit the application internally for approval.

Stage Two

Once approval has been given, SHFE personnel advise the producer that ‘Stage Two’ procedures (i.e. the formal inspection, sampling & analysis of the producer’s Grade A copper cathodes) can commence.

Metal Registration liaises with the producer concerning the next steps:

• 2 x 50m.t. parcels of Grade A production for each of its five nominated Chinese testers to be shipped to a SHFE designated warehouse.
• The SHFE requires 2 x 100m.t. of these parcels to undergo inspection, sampling and analysis procedures.

Stage Three

Upon SHFE receiving a satisfactory report, the SHFE permits all parcels to be shipped to each of the five domestic testers and undergo SHFE testing.

Upon completion of ‘Stage Three’ testing, SHFE personnel review all documentation received from the testers.

Stage Four

Subject to all documentation being in order, SHFE personnel require a plant inspection visit.

The SHFE will review the completed application and, upon approval, issue a letter of approval to the applicant producer and a notice to Exchange Members confirming the brand as Good Delivery.