CANCUN Feb 26 Canadian metals miner Teck
and smelter Korea Zinc have agreed to zinc
processing fees of $210.50 per tonne for 2013, up more than 10
percent from last year's benchmark of $191, delegates at the
International Zinc Conference told Reuters.
"Everyone expected the treatment charges to be higher as
there is plenty of supply and less demand of concentrates from
China compared with last year," a source at an Asian zinc
When supplies of concentrate are in surplus, miners have to
pay higher processing fees to smelters to refine it into zinc.
Last year, the zinc processing agreement between Teck and Korea
Zinc helped to establish the 2012 benchmark at $191 a tonne.
The agreement is based on a $2,000 per tonne London Metal
Exchange (LME) zinc price .
"I heard of the Korea Zinc and Teck deal," a representative
from a western mining company said, adding that he hasn't yet
heard of any European smelters agreeing to processing deals.
Teck and Korea Zinc were not immediately available for