Commodity Trading
Commercial legal advice for all aspects of commodity trading
We have market leading expertise in advising clients looking to establish commodities trading desks and in providing ongoing assistance and advice on trading issues as they arise.
What we do in Commodity Trading
We provide a comprehensive commodity trading service to the global commodity business, with up to 30 Partners worldwide specialising in commodities, reflecting our long involvement in this field.
We act across the spectrum of the international sale of goods including soft commodities, oil and gas, coal and steel, iron ore and non ferrous and precious metals. Our worldwide clients include multinational energy and chemical companies, coal and metal traders, utilities, soft commodity trading houses, trade and project finance banks, governments and their agencies, brokers, insurers and trade associations.
Our experience in Commodity Trading
We have many years' experience of advising on commodity transactions, their financing, and the resolution of disputes. We have been involved in leading cases in the law of commodities. We provide below some examples of our work in Commodity Trading.
- Advising and acting for a number of global investment banks in setting up their commodity trading desks, conducting due diligence investigations worldwide for oil, coal, LNG, iron ore, metals and ags, including advising on environmental and other risks and providing advice in relation to new geographical trading areas as well as entry into new commodities markets.
- Acting for a major bank in relation to eight contracts for the storage of crude oil, petroleum products and ethanol in Europe and the Middle East, including a US$117 million storage agreement in eastern Turkey.
- Advising a number of the world's largest soft commodity trading companies in relation to over 20 very significant FOSFA (soybean) arbitrations. Claims exceeded US$150 million.
- Advising on regulatory matters impacting commodity trading, particularly in relation to power and gas regulation, the borderline of financial regulation, and market abuse issues.
- Documenting commodities transactions and trading relationships under standard agreeemnts or bespoke terms.
- Advising a major US trading house in a series of disputes with Chinese buyers in a FOSFA arbitration concerning the ban on imports of South American soyabeans by the Chinese Government.
- Advising a US grain trading house and their underwriters in relation to claims arising out of the substantial damage to cargo that outturned in Maputo and Monrovia caused by the unseaworthiness of the carrying vessel.
- Advising an international energy company on the establishment of its coal trading business in the People's Republic of China.
- Advising on and documenting OTC energy, emissions, equity, real estate and other transactions.
