FEBRUARY 21, 2018 ALUMINIUM

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1 ALUMINIUM Japan P1020A cif Japan P1020A cif Spot MJP premium stable in quiet market with Q2 MJP offer from one producer in at $135/t. One spot deal reported at $103/t, while offers as low as $90/t for February delivery and $120/t for March delivery heard, the former due to the backwardation and the latter due to expectation of US Midwest premium rising further on Section 232 news. LME C/3M spread at $50/t backwardation at some point this week while C/Mar up to $40/t backwardation. Q1 MJP had settled on Dec 14 at $103/t, up 9% from Q4. Shanghai P1020A in-whs Premium flat this week, SHFE closed for Lunar New Year. Shanghai P1020A cif Same as aluminium ingots Shanghai bonded. Shanghai P1020A cif Taiwan P1020A cif Premium unchanged due to, Chinese New Year. Singapore P1020A fob Republic of Korea P1020A cif Republic of Korea P1020A fca Malaysia P1020A fob See Singapore fca. Republic of Korea P1020A cif South East Asia P1020A warrants in-whs East Asia P1020A warrants in-whs See Southeast Asia warrants. Antwerp P1020A in-whs DUP Antwerp P1020A in-whs DP Vlissingen P1020A in-whs DUP See Antwerp duty-unpaid. Vlissingen P1020A in-whs DP See Antwerp duty-paid. Italy P1020A fca DP Spain P1020A fca DP Turkey P1020A cif DUP IT IS A VIOLATION OF AMM COPYRIGHT TO PHOTOCOPY/DISTRIBUTE THIS PRODUCT FEBRUARY 21, 2018 Premium unchanged, limited spot trading due to Chinese New Year. Participants concerned that premium could come under pressure if backwardation persists in nearby LME spreads. Premium unchanged, slow spot trading amid Lunar New Year. Higher end of range seen as achievable in Incheon, where supply remains tight. LME C/3M spread in backwardation, downside pressure seen if backwardation persists. Participants await decision of President Donald Trump after US Commerce Department s recommendations for import tariffs/quotas on aluminium. Premium unchanged, slow spot trading amid Lunar New Year. South Korea's PPS awarded on Feb 13, a 1,000t duty-free non-good western tender at premium of around $105/t cif Incheon for delivery April 13. PPS also awarded a non-duty free good western tender on same day at a premium equivalent to $98/t, after 1% import tax, cif Busan. See fca Korea comments. One assessment up to $20/t but majority of market sees $15/t as high point. Live LME stocks up 75,275t this week, following 21% increase last Tuesday. Premium stable to track Rotterdam range this week. Antwerp still seen by most as $2/t below Rotterdam on top end due to higher costs. Premiums unchanged to reflect Rotterdam duty-paid premium. Top end of Antwerp range seen $2/t below Rotterdam's due to higher costs. Wide backwardation capping further uptrend for now. Business above $200/t now possible and buying below $195/t difficult. Salerno and Trieste premiums at higher end, Genoa premium at lower to middle portion of range. Premium remains at its highest since Feb 2016 and on par with Italy. Interest in region has picked up in recent sessions, but no confirmed business in Spain. Tight supply and increased logistics costs are supporting prices in the region. Some say Spain was counting on Canadian imports, which have not materialized in sizable tonnages. Market more focused on doing business for higher-purity material. Business quiet compared to Jan, but business below $120/t difficult to do. Most contracts for Q1 now completed, participants starting to discuss Q2 contracts.

2 ALUMINUM (cont'd) Rotterdam P1020A in-whs DUP Market digesting latest US tariff recommendations. Final decision to be made by April 19. Option to tax metal from specific countries stokes most bearish outlook for Europe out of the US Commerce Department s three recommendations. Some expect shipments from Europe to US to slow to make sure metal headed there arrives before tariffs begin. Spreads extremely volatile Tuesday. LME C/3m backwardation widens to $28/t, hits widest in 11 years at $50/t earlier in the day. Downward pressure on premium expected if spreads stay at these levels in coming days. Some participants sidelined, waiting for clearer direction on LME spreads after third Wednesday this week. 52,550t was freshly canceled Tuesday, with 90% of it in Singapore. Rotterdam P1020A in-whs DUP Rotterdam P1020A in-whs DP United States P1020A warrants in-whs Midwest United States P1020A dlvd DUP cents/lb cents/lb Brazil P1020A dlvd Brazil P1020A cif COPPER Premium steady in relatively quiet market. C/3M backwardation touches 11-year high, spooking participants from entering market until more clarity on spread direction emerges and volatility fades. Spreads giving reasons for some to deal at bottom of range and below 3% duty spread. Premium could be pressured if spreads stay at these levels for prolonged period. Detroit LME live stocks steady at 35,125t. Total stocks fall by 575t to 54,175t. Many market participants holding back this week, with confirmation of possible Section 232 remedies by the US Commerce Department leaving possibility of steep climb in value of aluminium in near term. Domestic premium pressured by higher US Midwest premium, but weak spot demand limiting rise. Premium for imported metal edges up following higher global premium. Market evaluating impact of potential duties on exports to US. Shanghai grade A in-whs Shanghai grade A in-whs Shanghai grade A ER in-whs Participants away for Chinese New Year. Shanghai grade A SX-EW in-whs Participants away for Chinese New Year. Shanghai grade A cif Shanghai grade A cif Shanghai grade A ER cif Participants away for Chinese New Year. Shanghai grade A SX-EW cif Participants away for Chinese New Year. Republic of Korea grade A cif South East Asia grade A cif Japan grade A cif Asian market quiet during Lunar New Year. No spot deals heard this week. LME on-warrant stock in Busan rose by 1,050t from a week ago to 42,125t. Small business and bids heard at lower end of range this week as demand from Southeast Asian countries remain soft during holiday season. On-warrant stocks increased by 2,075t this week in Singapore's LME-listed warehouses to 60,450t. Japanese spot market remains illiquid despite robust demand from construction sector. Preference for domestic copper output over imported material seen. Market participants see upside in premium to attract metal into the country. Interest in non-lme registered grade A copper may be higher than exchange-listed stock. Taiwan grade A cif Market closed for Chinese New Year. Most companies finished restocking prior to holiday. Republic of Korea grade A cif See South Korea, grade A cathode, cif, $ per tonne. South East Asia grade A warrants in-whs East Asia grade A warrants in-whs See Southeast Asia warrants. Rotterdam grade A cif Market stable, demand weaker this week. Total live copper stocks up 8,700t this week despite cancellations in Port Klang. Premium unchanged amid ample availability of cathodes. Scrap discount is heard to be narrowing. LME on-warrant stock in Rotterdam rose by 5,000t from a week ago to 70,925t. IT IS A VIOLATION OF METAL BULLETIN COPYRIGHT TO PHOTOCOPY/DISTRIBUTE THIS PRODUCT PAGE 2

3 COPPER (cont'd) Italy grade A cif Germany grade A dlvd Spot market quiet. Urgent requests for material may come with a slightly higher premium around $5 above the current range. Premium unchanged on inactive spot trade. LME 3M spreads sat at a contango of $44/t on Tuesday afternoon. Leghorn grade A cif See Italy, grade A cathode, cif, $ per tonne. North Europe grade A warrants in-whs Southern Europe grade A warrants in-whs See North Europe warrants. Midwest United States grade A DDP cents/lb cents/lb Stable market for European copper warrants. Live copper stock in Europe up 6,000t with delivery into Rotterdam. LME 3M prices back above $7,000/t. Premium unchanged but spot-market activity starting to rise and US housing market expanding. United States grade A warrants in-whs Comex copper stocks rose to 226,308 short tons. LEAD India 99.97% cif India 99.99% cif See lead 99.97% ingots India cif. South East Asia 99.97% cif South East Asia 99.99% cif Premium unchanged, spot market remains quiet. Current price gains on the LME incentivize secondary production in domestic market and exports from Iran. Lunar New Year blunts spot demand, but interest seen out of Malaysia, Indonesia for tonnes. Premium unchanged in quiet spot conditions. Korea Zinc 10,000t sales cut in 2018 not thought to impact market heavily. LME 3M price stable around $2,600/t. Taiwan 99.97% cif Premium flat with market celebrating Lunar New Year. Taiwan 99.99% cif Same as 99.97% Taiwan cif. South East Asia 99.97% warrants in-whs East Asia 99.97% warrants in-whs See Southeast Asia warrants. Warrant premium stable, but weaker demand seen this week. LME C/3M now in contango at $3.75/t. Live stocks dipped 100t. Rotterdam 99.97% fca DP Premium unchanged amid quiet spot market, with no transactions reported. LME stock in Rotterdam down by 2,975t from last week. Rotterdam 99.99% fca DP See lead 99.97% ingots Rotterdam DP fca Italy 99.97% fca DP North Europe 99.97% warrants in-whs Premium unchanged in quiet market conditions. LME stock in Livorno up by 175t. Quiet trading conditions for lead warrants in Europe. Live stocks in Europe were little changed this week, small delivery into Leghorn. LME 3M price stable above $2,500/t. Southern Europe 99.97% warrants in-whs See North Europe warrants. United States 99.97% warrants in-whs No LME lead stocks in US. Midwest United States 99.99% DDP cents/lb cents/lb See US lead 99.97%. Midwest United States 99.97% DDP 9-11 cents/lb 9-11 cents/lb Demand solid due to restocking. Snow and expensive freight causing logistical problems across the supply chain. NICKEL Shanghai 99.80% in-whs Shanghai Full plates in-whs Shanghai 99.80% cif Shanghai Full plates cif South East Asia briquettes warrants in-whs Continued strong demand for briquettes in Asia this week. Live stocks increased 1,075t from last week. LME C/3M spread at $50.50/t contango. East Asia briquettes warrants in-whs See Southeast Asia briquettes warrants. IT IS A VIOLATION OF METAL BULLETIN COPYRIGHT TO PHOTOCOPY/DISTRIBUTE THIS PRODUCT PAGE 3

4 NICKEL (cont'd) South East Asia Full plates warrants in-whs No business reported this week. Market still tight, with very limited availability of free plates. LME nickel price still above $13,500/t. East Asia Full plates warrants in-whs See Southeast Asia full-plate warrants. Rotterdam Full plates in-whs Rotterdam 4x4 cathodes in-whs Rotterdam briquettes in-whs North Europe Full plates warrants in-whs Midwest United States 99.80% melting material DDP cents/lb cents/lb Midwest United States 99.80% plating material DDP cents/lb cents/lb TIN Premium stays at 11-year high. Strong bullish sentiment in the market spurred by extremely tight full-plate material has made it more difficult to do business below range. Market quiet during Chinese New Year, but sellers looking to get as high as $300/t. No substantial confirmed business reported above the range. Premium ticks higher on tightening cutting capacities. Cutting costs assessed higher to $ /t, with 4x4 market tighter in recent weeks. LME C/3M widens to $50.50/t contango from $42.50/t last week. LME 3M price at around $13,475/t. LME live Rotterdam stocks continue to decline, now at 23,766t from 24,222t. Continued tight availability of full plates in Europe, but market still sees $200/t as high end of the range. Live stocks down 462t in Europe this week, no available stock left in Hamburg or Vlissingen. Nickel premium widens slightly with ongoing tightness in the market. Briquettes are more available than cathodes, but tightness seen for both. Shanghai 99.85% cif Premium flat this week with SHFE closed due to Lunar New Year. Shanghai 99.9% cif Same as tin 99.85% Shanghai cif. Shanghai 99.9% cif Same as tin 99.85% Shanghai cif. Taiwan 99.9% cif Premium flat this week with market celebrating Lunar New Year. Singapore 99.9% in-whs Singapore 99.9% low lead in-whs Premium stable as suppliers remain keen to sell given the high LME tin price. Buying at flat LME price in Singapore said to be possible, albeit with pricing optionality. Some Indonesian smelters, including PT Timah and RBT, got their export licenses, but others are still awaiting permit and quota. Some vessels left Bangka Island but may not arrive in Europe until March. Trades on ICDX for exports totaled 5,245t in Jan from 7,270t in Dec. Indicative premium only for low-lead material due to lack of spot offers. Supply availability tight due to lack of Indonesian units and recent destocking. Hard to get an offer for 50ppm material. Some 200t of 50ppm tin traded for exports on ICDX in Jan. South East Asia min 99.85% warrants in-whs Live LME stocks up 80t from last week but remain at record-low levels. Rotterdam 99.85% in-whs Rotterdam 99.9% in-whs Rotterdam 99.9% low lead in-whs Market soft with no new spot trades reported. MSC not making its way to Europe anymore. No live stocks in Rotterdam, last 80t canceled out for delivery. Premium holds at 1-year high on tight immediate supply availability. Indonesian shipments still an issue and delays have restricted deliveries into the European market. Window of opportunity for sellers as market expects imminent shipments to ease supply concerns. LME 3M price eases slightly from firm levels at $21,350/t, while C/3M backwardation widens again to $125/t from $98/t last week. Off-exchange stock levels eaten up by improving demand. Low-lead premium stays at record level since Metal Bulletin started pricing low-lead in 2010 on the back of tight supply availability and short covering. Spot inquiries struggling to find offers, especially for 50ppm material. South American and European producers mostly sold out, Indonesians still not exporting and traders offering high. IT IS A VIOLATION OF METAL BULLETIN COPYRIGHT TO PHOTOCOPY/DISTRIBUTE THIS PRODUCT PAGE 4

5 TI N (cont'd) Baltimore 99.85% in-whs Premium steady with spot market material available. Material might tighten in March with a lack of imports from Indonesia. Midwest United States 99.85% ASTM dlvd Elevated trucking costs continue to support premium. ZINC India SHG cif DP India SHG cif DUP Premium ticks up in line with higher price and duty-free element. Import tax of 5% in India means $300 price rise on LME equates to $10 on duty/ premium. Backwardation, slack demand sees premium level soften at top end of range. Shanghai SHG in-whs Shanghai SHG cif Premium flat with SHFE closed due to Lunar New Year. Taiwan SHG cif Premium flat as market celebrates Lunar New Year. Shanghai SHG in-whs Singapore SHG in-whs Singapore SHG fca Malaysia SHG in-whs Premium in slightly wider range amid tight supply, participants peg higher end of range as achievable for fresh production, good brands. Trading slow amid Chinese New Year holiday. Premium unchanged, limited spot trading and offers during Chinese New Year holiday. Support seen from tight metal supply. Malaysia SHG fca See Singapore fca. South East Asia SHG cif Premium unchanged, participants peg range as achievable for cif Vietnam and Indonesia. Spot trading slow due to Chinese New Year and high LME prices. Singapore SHG in-whs See in-warehouse Malaysia. Rotterdam SHG fca DUP Rotterdam SHG fca DP Antwerp SHG fca DP Indicative premium due to limited availability and trade of duty-unpaid zinc metal in European markets. European premium splits to two-tier market as backwardation, overhanging stocks mean buyers can pick up sizable tonnages at much lower cost. Premium softens by $10/t at lower end with offers seen as low as $110/t for clips of around 1,000t. Smaller tonnages, truckloads still seen higher. LME C/Mar last at $12/t backwardation, C/April at $18.5/t backwardation. Traders with large physical positions willing to offload some stock. End-users refrain from buying with prices back to 11-plusyear highs. Antwerp SHG fca DUP See Zinc SHG ingots Rotterdam duty unpaid fca. Italy SHG fca DP Premium declines in line with increased offers at lower levels for higher volume tonnages. Traders pass on costs of eating backwardation to consumers in small-lot deals. Italy SHG DDP See Zinc SHG ingots Italy duty-paid fca. North Europe SHG warrants in-whs United States SHG warrants in-whs Midwest United States SHG DDP cents/lb cents/ lb No business reported. Live stocks unchanged in Europe with just 600t in Bilbao. Global stocks also unchanged at 83,700t on warrant. Live New Orleans stocks remain at 83,000t but total inventories dip by nearly 10,000t to 145,300t. Freight costs and improving supply driving industry, but spot market deals remain weak. Premiums are paid on top of London Metal Exchange cash prices to acquire ownership or secure delivery of physical metal at an agreed location and date. Rates vary according to brand, specification, purity, tonnage, payment terms and warehouse operator. (Table compiled by Metal Bulletin and AMM Newsdesks) If you wish to export any Metal Bulletin prices to distribute to other people or input them into a company system you will require a data licence. Click here to find out more. Please do not forward this . View our terms and conditions for more information. IT IS A VIOLATION OF METAL BULLETIN COPYRIGHT TO PHOTOCOPY/DISTRIBUTE THIS PRODUCT PAGE 5