Some Japan 1Q Aluminum Contracts Agreed To At $63 Premium

SINGAPORE -(Dow Jones)- A few Japanese aluminum first-quarter 2009 contracts have been agreed to at a $63 premium to the London Metal Exchange cash price per metric ton, but most contract negotiations remain unresolved, traders said Friday. Japanese premiums for good western brand aluminum, which are set on a quarterly basis, are regarded as a benchmark for the Asian region. The negotiations between Japanese aluminum producers and large consumers from the manufacturing and construction sectors have been on for three weeks and are due to end today so that shipping arrangements can be made. Fourth-quarter premiums this year had been set at $75-$77 over the LME cash price. At 0321 GMT, three-month LME aluminum was at $1,558/ton, down $4 since Thursday's kerb. -By James Campbell, Dow Jones Newswires;