Battery Metals - Mitigating risk through derivative contracts, and market pricing mechanisms.

As we look to meet greener targets as nations, and as a global community, it is clear that battery materials are only going to become more significant, with predicted demand heavily outstripping supply as we look towards 2030. As producers, OEMs and trading houses look to limit their exposure to erratic market forces, and investors are drawn in by the significant potential upside, the cash-settled derivative contracts' critical importance becomes clear.

In our most recent webinar, we were lucky enough to be joined by Jessie Ng and Peter Hannah from the SGX and Fastmarkets. Jessie was able to talk through the new battery metal futures being launched on the SGX and their function in the mitigation of risk, whilst Peter was able to explain the market pricing mechanisms and how Fastmarkets consolidate this market information into their pricing. It was a fascinating insight into these contracts and their significance in today's, and the future battery materials marketplace.