Most industrial minerals trade in volumes too small for a bulk carrier and too large for a spreadsheet. Rare earths have no liquid exchange-traded futures market. Michael brings swap infrastructure to a market the exchanges have left largely untouched.
The Gap
Copper is one of the only base metals with meaningful exchange infrastructure. Everything else trades bilaterally, on relationships, with no shared settlement layer: iron ore fines, rare earths, specialty concentrates.
Of iron ore moved by sea in 2024 (Kpler; UNCTAD Review of Maritime Transport). Nearly all of it trades bilaterally, with no shared settlement layer.
Swap Applications
Chile copper destined for China swaps locally against Peru copper also headed to China. Both avoid the intercontinental bulk carrier leg.
Freight & transit time reducedA smelter needing a specific concentrate grade blends against a counterparty's off-spec stock, avoiding contract penalties while both capture the grade spread.
Grade spread capturedA smelter facing a supply gap draws on a mining company's port stockpile now, repaying from forward production once it lands.
Production shutdown avoidedCompliance Built In
Minerals carry their own compliance layer on top of the standard customs and sanctions checks. It is 3TG conflict-minerals due diligence aligned to OECD guidance, plus responsible-minerals (RMI) checks. All of it applies before a swap can clear the pre-screen.
Related
Request a walkthrough staged on a minerals corridor.