good news for moly

The London Metal Exchange has made it official.

Cobalt and Molybdenum will be traded on the LME from the second half of 2009.

This is oustanding news for up and coming Moly producers who will be able to manage risk better.

Being able to sell forward will greatly improve the chances of sourcing debt finance for new projects.

It will of course also mean speculators will enter the Moly market and variances in prices could be much more prenounced.

Now Moly prices are expected to peak in 2009/2010. What will happen with speculators participating in the market? We may see some real dramatic price spikes.

The Moly story looks even better now.