China Copper Smelters To Raise TC/RCs 60% For BHP - Sources

Chinese smelters have reached an agreement with Anglo-Australian miner BHP Billiton (BHP) to settle 2009 treatment and refining charges, or TC/RCs, at $75 a metric ton and 7.5 cents a pound, copper traders said Friday.

The charges are about 60% higher than what BHP paid last year to smelters to process copper concentrate into the red metal.

China's largest copper smelter by output, Jiangxi Copper Co. (0358.HK), also has settled on a nearly 60% rise in 2009 TC/RCs with Freeport McMoran (FCX) at $75/ton and 7.5 cents/lb, said traders.

"That's the benchmark for China," said a major copper trader at a Beijing based brokerage, adding the price was taken on cues from Japan.

BHP and Jiangxi didn't respond to calls Friday.

-By Chuin-Wei Yap, Dow Jones Newswires; 8610 6588 5848; [e-mail]

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