Logisminsa eyes slice of Trafigura, Glencore Peruvian blending business with new lead facility

Peruvian metals warehouse Logisminsa is in the process of building a lead concentrate storage and blending facility, a move that would break a Glencore-Trafigura duopoly in one of the world's top exporters of the commodity.

Logisminsa, which opened its first sheds in 2017, will open a 5,000 square meter hermetically sealed, negative pressure warehouse for the storage and blending of lead concentrates in October, senior consultant Victor Joy Way told Fastmarkets in a telephone interview from Lima.
Next year, the company plans to expand this capacity to 10,000 square meters to process a targeted 100,000 tonnes of lead concentrates in 2020, roughly a fifth of Peru's total exports, Way said.
Currently, only Glencore and Trafigura have logistics operations for this in the country. Once complete, the facility looks set to open up the tightly controlled export channel for lead concentrates in Peru, which rivals the United States as the world's top shipper of the commodity.

This matters at a time when spot treatment charges (TCs) for lead concentrates remain chronically low, last at...


Archie Hunter

July 22, 2019

14:51 GMT