Source: Adobe Stock/luzitanija
The London Metal Exchange‘s Hong Kong owners have seen revenues soar for the venerable metals exchange and Vale SA and BHP Billiton may have reached a deal with the Brazilian government over the deadly Samarco mine disaster.
LME Revenue Soars
The London Metal Exchange posted a 36% jump in revenue for 2015 to $223.15 million, as higher trading fees and tariffs helped it offset a drop in volumes, its owner — Hong Kong Exchanges and Clearing Ltd.— said on Wednesday.
The revenue gains at its London unit were a key contributor to HKEx record net profit last year, showing the payback has begun from its $2.2 billion buyout of the 139-year old metals exchange near the height of the commodities boom in 2012.
Samarco Owners Reach Deal With Brazil
Samarco Mineracao SA will pay at least $5 billion over 15 years as part of a deal reached with the Brazilian government to settle a lawsuit for damages caused by a deadly dam spill at a mine in November, a government source told Reuters on Tuesday.
Samarco, a joint venture between Vale SA and BHP Billiton, will pay 4.4 billion Brazilian reais in the three years following the agreement that is expected to be signed today.