CME has no standard service offering. Instead the company prides itself on delivering a tailored package of services to its clients. By doing so there is a greater likelihood of achieving an optimised outcome for both parties.
The outcome from the first phase is a strategic roadmap along which the main drivers can be captured and outcomes delivered.
During the second step a workshop is conducted during which any reliable technology-based tools are considered for application to the project. Often a technology or process adjustment can create an easier pathway to achieving a highly marketable end product.
The risks are then considered and a set of risk mitigation steps are identified.
Finally a recommendation is made that captures a suite of tasks that CME can implement jointly with the client.
CME can help your company to minimise risk in two key areas - Financial Risk and Safety Risk (including Shipping Risks).
With a dynamic market for many commodities causing rapid price movements unfavourable outcomes on cash-flow can be detrimental to the viability of a project. CME can provide cash-flow support and security/surety on commodity prices and therefore income.
There are numerous risks in the stability and transportation of bulk cargoes and concentrates. A standout example is the potential for liquefaction of certain bulk cargoes such as nickel ore. Insurance companies are demanding and policing stringent adherence to the Bulk Cargo (BC) Code, and failure to comply can result in stalled or aborted shipments. Should this occur at or near the arrival of a vessel the costs can be enormous.
Liquefaction is particularly an issue if the commodity is stock piled in a tropical location as it results in a higher than average moisture content prior to shipping. CME team members have first hand experience in this area.