Zinc miners, smelters brace for TCs talks

Miners are currently holding the cards in the world of zinc treatment charges (TCs). Whether they'll get their way entirely, remains to be seen.
As the annual TCs negotiations continue at the International Zinc Assn (IZA) meeting in the US state of California, few can deny that terms have swung overwhelmingly in favour of miners for the first time in years. TCs - the fees mining companies pay smelters to have their semi-processed ore, or concentrates, turned into metal - are being debated in a range of around $155-175, based on a zinc price of $2,800 per tonne. It is very early days yet, and negotiations will likely see the range change in the days to come. Miners are looking for as low as $135, with smelters asking for $185, market participants say. Few expect any large-scale agreements to be concluded during the meetings this week.


Metal Bulletin