The LME has absolute confidence in the LMEsword system, which has proved to be robust during member testing.

However, the LME has decided that it is in the best interests of the market to postpone the launch of the new system to allow members and warehouse agents more time to familiarise themselves with the LMEsword system.

Warehouse agents have also asked for more time to become comfortable with the new rent payment process, particularly as the rent payment date falls on 31 March.

The LME will still launch the minor metals contracts for molybdenum and cobalt on 22^nd February 2010. Material that completed the warranting process before 12 April 2010 may, if the owner wishes, have an interim LME warrant issued before the LMEsword warrant is issued after 12 April.

~Ends~

For further information please contact:

Stephen White
Business Manager Corporate Affairs
t. +44 (0)20 7264 1701 / +44 (0)7980 661 724
e. stephen.white@lme.com

John Parry - RostronParry
t. +44 (0)207 490 8062 / +44 (0)7802 292251
e. john@rostronparry.com

About the London Metal Exchange

The London Metal Exchange is the world's premier base metals market. It offers metals price risk management tools including futures and options contracts for aluminium, copper, tin, nickel, zinc, lead, aluminium alloy and NASAAC, steel billet, plastics and the minor metals - cobalt and molybdenum. In 2009, the total value of trading was $7.41trillion, and the Exchange finished the year with 5.96m tonnes of material on warrant in 633 storage facilities across 39 locations globally.
http://www.lme.com/