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LME Clear and LCH.Clearnet agree migration date for LME clearing services

05 June 2013

The London Metal Exchange (LME) and LCH.Clearnet Ltd (LCH.Clearnet) have reached an agreement to migrate LME contracts currently cleared by LCH.Clearnet to LME Clear. Both parties have agreed to migrate the exchange contracts to LME’s clearing platform on 22 September 2014, in order to give members and the market time to implement new EMIR regulations and to better manage an already busy period of change in the market.

“LME Clear and LCH.Clearnet teams have worked together to plan a controlled, efficient migration of services to the LME’s new clearing service,” said Trevor Spanner, Managing Director of Post Trade Services at LME Clear. “Ensuring continued market stability and minimising disruption for members were driving principles behind our planning.”

“LCH.Clearnet and the LME have enjoyed an excellent working relationship over the last 25 years, and have agreed a carefully negotiated migration plan to ensure a smooth transition process,” said Alberto Pravettoni, CEO of LCH.Clearnet’s Repo and Exchanges business.

To view this press release as a pdf click here  


LME - Miriam Heywood
Head of Media Relations 
t +44 (0)207 264 5538
e miriam.heywood@lme.com

LCH.Clearnet – Rachael Harper
T + 44 (0) 207 426 7175
e rachael.harper@lchclearnet.com

About the London Metal Exchange

The London Metal Exchange, a member of HKEx Group, is the world centre for industrial metals trading.

More than 80% of global non-ferrous metals business is conducted on our three trading platforms: LMEselect (electronic), the Ring (open outcry) and the 24-hour telephone market. The world’s metal community uses the LME to trade futures, options, and our latest contract, LMEswaps, to hedge against adverse price movements – prices which are discovered on our markets and used as the global benchmark.

Participants can trade aluminium, copper, tin, nickel, zinc, lead, molybdenum, cobalt, steel billet and two regional aluminium alloy contracts. In 2012, 159.7 million lots were traded on the LME, the equivalent of 3.7 billion tonnes and $14.5 trillion in notional value.

At the close of the year, 7.5 million tonnes of material was held on LME warrant in 765 storage facilities across 36 locations internationally.

About LCH.Clearnet

The LCH.Clearnet Group is a leading multi-asset class and multi-national clearing house, serving major exchanges and platforms as well as a range of OTC markets.

LCH.Clearnet’s world-class risk management framework provides the markets with exceptional levels of protection. Both the soundness of its risk management approach and the resilience of its systems have been proven in recent times. As demand for robust clearing services continues to grow, LCH.Clearnet is committed to setting and maintaining the highest standards across all asset classes cleared.

For more information on LCH.Clearnet visit www.lchclearnet.com/media_centre