European FeV market appears concluding below USD20/kg
2009-12-16 18:16:33 【Print】
BEIJING (Asian Metal) 16 Dec 09 – In what initially began in a hushed tone among dealers expressing concern about the dwindling fortunes of ferrovanadium as mainstream prices hovered USD20
According to a European source close the deal, a Western producer of ferrovanadium is reported to have concluded about 100t of the material to a North-East Asian end-user at USD19.50/kg CIF destination port, and whilst the consumer is reportedly feigning ignorance of the deal, close sources suspect the material is most likely to have come from South Africa as a European producer is reported to have sold out although quotations for its material among dealers stand at USD22.00/kg V d . p . in warehouse Rotterdam for prompt release .
Confirming the aggressiveness of producers rather than traders, a European dealer also disclosed to Asian Metal of receiving an offer of a truckload from a Chinese supplier at USD19.00/kg FOB Chinese main ports and, as at the time of filing in these reports, the details of specification was being examined before negotiation could begin but quickly added he had sold a ton from inventory at USD23.00/kg V d . p . for prompt release to customer .
Corroborating the above, a close source revealed to Asian Metal a European consumer had, this week, already bought a truckload at USD19.00/kg V FOB China . “It appears to be falling so fast and heavy,” remarked the source, adding, “it’s really confusing but one should not be surprised for producers have been selling directly to end-users at very competitive prices that have pushed traders out of the market . "
And after several weeks of ignoring bids at below USD6.30-6.90/lb, Asian Metal learnt traders are willing to consider vanadium pentoxide bids at USD6.00/lb but this seems to be unattractive to end-users who are looking for material in the range of USD5 . 50-5.90/lb . Although no deals have been reported to Asian Metal, any change in pricing decision by dealers could have been largely influenced by lack of purchases from end-users .
. 50-22.50/kg V d . p . for several weeks, it is becoming evidently clear the market is much weaker as deals are believed to have been concluded at below the mainstream at USD19 . 00-20.00/kg V d . p . depending on tonnage and delivery term .According to a European source close the deal, a Western producer of ferrovanadium is reported to have concluded about 100t of the material to a North-East Asian end-user at USD19.50/kg CIF destination port, and whilst the consumer is reportedly feigning ignorance of the deal, close sources suspect the material is most likely to have come from South Africa as a European producer is reported to have sold out although quotations for its material among dealers stand at USD22.00/kg V d . p . in warehouse Rotterdam for prompt release .
Confirming the aggressiveness of producers rather than traders, a European dealer also disclosed to Asian Metal of receiving an offer of a truckload from a Chinese supplier at USD19.00/kg FOB Chinese main ports and, as at the time of filing in these reports, the details of specification was being examined before negotiation could begin but quickly added he had sold a ton from inventory at USD23.00/kg V d . p . for prompt release to customer .
Corroborating the above, a close source revealed to Asian Metal a European consumer had, this week, already bought a truckload at USD19.00/kg V FOB China . “It appears to be falling so fast and heavy,” remarked the source, adding, “it’s really confusing but one should not be surprised for producers have been selling directly to end-users at very competitive prices that have pushed traders out of the market . "
And after several weeks of ignoring bids at below USD6.30-6.90/lb, Asian Metal learnt traders are willing to consider vanadium pentoxide bids at USD6.00/lb but this seems to be unattractive to end-users who are looking for material in the range of USD5 . 50-5.90/lb . Although no deals have been reported to Asian Metal, any change in pricing decision by dealers could have been largely influenced by lack of purchases from end-users .