The London Metal Exchange’s (LME) minor metals contracts have reached USD1bn in notional turnover.

Cobalt and molybdenum have traded 7,748 lots so far in 2012, (equivalent of USD291m) with a total of 22,161 lots traded since launch (equivalent of USD1bn).

LME Cobalt volumes surged 91 per cent in 2012 (January-July) compared with the corresponding period last year. Cobalt also reached record market open interest in March 2012 at 619 lots. LME Molybdenum volumes also increased nine per cent in 2012, with 310 lots traded from January to July 2012.

"LME cobalt volumes have been steadily growing in 2012," says Chris Evans, head of business development at the LME. "Industry now has a daily, transparent price and can use the contract to make or take physical delivery or to manage its price risk."

The LME's minor metals contracts now have 28 brands listed from 13 countries. There are 14 warehouses listed for good delivery in four locations in four countries, with 198 tonnes delivered in and 158 tonnes delivered out up to the end of July 2012.