The London Metal Exchange (LME) has confirmed that LMEmini contracts for copper, aluminium and zinc will launch on 20 November 2006.

The London Metal Exchange (LME) has confirmed that LMEmini contracts for copper, aluminium and zinc will launch on 20 November 2006. LMEminis are cash-settled, electronically traded monthly futures contracts in lot sizes of 5 tonnes, with the same specification as the Exchange's parent contracts.

'I am delighted to confirm that LMEminis will launch on 20 November 2006. There has been much detailed planning work with LCH.Clearnet, LME members firms and Select software providers to ensure that this date can be met," says Simon Heale, LME Chief Executive. 'I am confident that LMEminis will prove to be a successful and complementary addition to the Exchange's current suite of products and services.'

LMEminis - Further Details:

1. Initially for Copper Grade A, Primary Aluminium and Special High Grade Zinc
2. Lot sizes of 5 metric tonnes, with the underlying specification the same as for the full-size parent contracts
3. Tradable on LME Select only
4. Tradable for one prompt date (Third Wednesday of the month) per month for 12 months forward
5. Cash settled (i.e. not deliverable) against the Official Settlement Price of the full-size, parent LME contract announced on the cash day for the third Wednesday settlement.
6. Margining will be on a daily marked-to-market basis
7. The first tradable month will be December 2006
8. Trading currency will be US dollars only
9. Trading will cease at 12.30 hours on the cash day for the Third Wednesday prompt
10. The closing price for the relevant full-size metal contract, as at trading floor closing time, will be used for calculating margins

1. The LME is the world's premier non-ferrous metals market
2. The LME turned over 78 million lots in 2005, which equates to around $4,500 billion
3. Trading at the LME takes place through open outcry in 'the ring', through an inter-office telephone market and through LME Select
4. The LME commenced trading in polypropylene and linear low density polyethylene futures contracts on 27 May 2005
5. The LME announced its intention to develop risk management tools for the steel industry in October 2005 and in May 2006 confirmed that it will work with Platts to publish references prices for steel. If the references prices gain acceptance with industry the LME will consider launching futures contracts, settled against the reference prices.