Ikutan nambahin nih... ============== Tin Rises to 17-Year High on Indonesia Stoppage, China Forecast By Brett Foley Feb. 12 (Bloomberg) -- Tin rose to its highest in at least 17 years in London after an Indonesian producer stopped receiving ore from suppliers and a forecast that Chinese exports of the metal will drop 10 percent in 2007. Malaysia Smelting Corp. said today its PT Koba Tin unit, Indonesia's second-largest tin miner and smelter, stopped collecting ore from small miners amid a police probe into whether it bought ore from unauthorized miners. China's exports fell 12 percent in 2006 and will drop again, said Beijing Antaike Information Co. an adviser to the Chinese government. ``The supply side is already relatively tight and more news like this is impacting sentiment,'' said Robin Bhar, a London- based metals analyst at UBS AG. Tin for delivery in three months on the LME gained $175, or 1.4 percent, to $12,500 a ton as at 1:18 p.m. local time. Earlier, it rose as much as 3.5 percent to $12,750, beating the previous 17-year high of $12,500 set on Jan. 24. The metal has gained 8.6 percent this year on concern about reduced supply from Indonesia, the world's second-biggest producer, which has tightened export regulations and tried to stop illegal mining. Malaysia Smelting said today that three directors at Koba have been held by local police to assist in its investigation. Koba declared force majeure, Malaysia Smelting said in a statement to the Malaysian stock exchange. A force majeure clause allows a company to cancel delivery due to unforeseen circumstances. Malaysia Smelting denied any wrongdoing. Inventories Decline Chinese exports dropped to 19,000 tons last year, Cui Lin, a tin analyst at Antaike, said in an interview today. Consumption in China, the world's fastest-growing major economy, is rising as the country uses more of the metal for soldering electronic components. Stockpiles monitored by the London Metal Exchange are at their lowest since November 2005. Global consumption expanded 9 percent in 2006 on higher usage, tin research organization ITRI Ltd. said on Feb. 8. Demand grew to 360,000 tons last year as electronics manufacturers increased the tin component of solder to substitute for lead, a poisonous metal, ITRI said. Copper fell as stockpiles increased amid speculation that the Chinese Lunar New Year holiday may disrupt purchases of the metal used in pipes and wires. Inventories rose 425 metric tons to 216,050 tons, the LME said. Stockpiles have risen 18 percent this year and are at the highest since March 2004. China, the largest copper user, may delay purchases due to the forthcoming the Lunar New Year holiday, said Kevin Tuohy, a trader at Man Financial Ltd., one of 11 companies trading on the floor of the LME. Copper Falls ``I would be surprised if there is any increased demand from China this week in the lead-up to the New Year holiday period,'' Tuohy said in an interview. Copper on the LME slipped $36 to $5,544 a ton. Copper trading on the Shanghai Futures Exchange will be halted from Feb. 17 until Feb. 26 because of the Chinese holiday. Also on the LME, nickel dropped $50 to $36,100 a ton, lead advanced $45 to $1,660, zinc declined $10 to $3,140 and aluminum gained $5 to $2,705.
To contact the reporter on this story: Brett Foley in London at [EMAIL PROTECTED] Last Updated: February 12, 2007 08:23 EST
