Commodities have always been difficult and complex products to finance. They typically have low margins, and goods are traded across borders in jurisdictions where there may be a lack of trust between counterparties. This means that many financiers are hesitant to work with new or growing companies, as it is well-known that if there is a sudden difficulty, shipment problem, quality issue or a counterparty acts incorrectly, then it means that a previously profitable trade may cause major and disproportionate difficulty for the company.
Therefore, we dedicate a lot of time to expertise of a market where we are present, that allow us to provide risk management and financial support, including hedging, financing, insurance, and financial products such as pre-export financing and pre-production financing. We rely on our own capital and work closely with financial institutions to ensure smoothly executed transactions.
We also make strategic investments and pre-financings in producing and future mines to support our clients. We want to ensure our client’s success by structuring mutually profitable and safe transactions in a difficult industry.