THE LBMA GOOD DELIVERY LIST

Transcription

1 THE LBMA GOOD DELIVERY LIST Recent and Future Changes Stewart Murray, LBMA Good Delivery Consultant LBMA Assaying and Refining Conference SCOPE Update for existing GD refiners and new applicants Recent developments and changes Application Procedures Rules Bar Specifications Possible future changes Page

2 BACKGROUND Evolution of the Good Delivery System Good Delivery History Bank of England (Gold): London Gold Market: London Silver Market: 1959-(?) LBMA: Timeline of key developments 1976: Testing of Referee Samples 2004: Proactive Monitoring 2005: First Assaying and Refining Seminar 2009: Reference Materials 2012: Proficiency Testing Scheme for gold assayers 2012: Responsible Gold Guidance Page 3 The History of the London Good Delivery Gold List Still Available at no charge! (no silver equivalent unfortunately) Page 4 2

3 RECENT ACCREDITATIONS New LBMA GD Accreditations Gold Silver Asia Europe 5 3 N. America 3 2 Total Page 5 GOOD DELIVERY GOLD REFINERS By Region ( ) Africa 40 Americas GDL 25 Refiners 20 Europe Asia Europe Australia Asia Americas 5 Australia Africa GD List Date Page 6 3

4 GOOD DELIVERY SILVER REFINERS By Region ( ) GDL 30 Refiners 20 Africa Americas Asia Europe Australia Europe 10 Americas Africa Australia GD List Date Page 7 ACCREDITATION TIMELINE Arrivals Gold Silver Total Departures Delistings since 2008 Gold Silver Fidelity Doe Run Metalli Preziosi Metalli Preziosi Korea Zinc Nyrstar Page 8 4

5 TONNAGE REPRESENTED BY GD REFINERS Refined Production (tonnes per annum) GOLD GD Refiners 4,371 4,736 4,377 4,408 4,286 4,848 SILVER GD Refiners 22,060 22,379 24,464 26,945 28,855 30,934 GFMS Mine Production + Recycled Scrap in 2013: (tonnes) Gold: 4,302 Silver: 31,460 Page 9 GD REFINED PRODUCTION BY REGION GD Refiners Production in 2013 Gold Silver Asia 1,328 15,159 Europe 1,790 8,200 N. America 985 6,932 Other Total 4,848 30,934 Page 10 5

6 NON-TECHNICAL APPLICATION CRITERIA What is their purpose? Staying Power KYC and Ownership Tangible net worth Track record Production History One size does not fit all need for flexibility Fast-tracking Page 11 APPLICATION PROCEDURES Facilitators please note! Benefits of using a facilitator What needs to be in the Application File? Increased information in Video on bar casting Compliant Drawings Good quality electronic photographs For Gold applications: RGG compliance Page 12 6

7 GD RULES What are the GD Rules? For Applicants and Accredited Refiners wanting to make changes Rather complex need for rationalisation! Can be downloaded from LBMA website Summary of the recent changes document (Information, clarifications and new requirements) is also available on the website Page 13 RULE CHANGES SINCE 2013 Applications Use of non-traditional bar production methods Technical drawing to comply with samples shown in the Rules Weight lists to be machine readable and comply with sample lists shown in Annex H (which differ for application lists and commercial lists) Avoidance of over-packing Modified method of calculating silver Gross Troy Ounce weights Applicants for the Gold List must arrange for a third party audit of its Responsible Gold compliance prior to accreditation Page 14 7

8 RULE CHANGES SINCE 2013 Proactive Monitoring and Assaying Annual reporting of tangible net worth and production Gold samples used for testing reduced from 10 g to 5 g Possible use of spectrographic analysis for gold Assays of to cannot be rounded up to Use of templates for analytical reports with preferred order of elements Page 15 RULE CHANGES SINCE 2013 Bar Specifications Bar Specifications Bar surfaces must be reasonably smooth Consistent fonts must be used for assay marks New method for calculating the undercut for GD bars (based on angles of slope for sides and ends) Any change in a company s standard bars will trigger a requirement for the new bars to comply fully with the specifications on markings and dimensions Page 16 8

9 REFINER BAR CHANGES What refiners have to do to change a bar Changes can be for name/logo, markings or dimensions Refiner must submit request with new compliant drawing explanation of the change and proposed implementation date Then, after getting LBMA approval Submit new bar photos before implementation date What the LBMA does Lists the new bar or modified name on the GD List and informs the London Vaults by circulating new images Lists previous bar on Former List Page 17 RESPONSIBLE GOLD GUIDANCE Successful introduction still at early stage Now well understood by Gold Refiners LBMA Guidance useful for demonstrating compliance Not a technical issue so not on the A&R agenda this time Page 18 9

10 LBMA GD LIST FUTURE DEVELOPMENTS London or Global? Kilobars? Information collection Accreditation Further clarifications on physical quality Increase in tangible net worth requirement? Increased minimum production requirement? Responses to regulatory changes Page 19 10