- KWG Resources (CSE: CACR) partners with Maclaine Watson & Co to explore chrome trading on the London Metal Exchange.
- The Memorandum of Understanding (MOU) aims to restore Maclaine Watson's LME dealer seat and trade chromium in twice-daily auctions.
- This collaboration aligns with chromium's designation as a critical mineral by the USA, potentially enhancing market access globally.
KWG Resources Inc. (CSE: CACR) has entered into a Memorandum of Understanding (MOU) with Maclaine Watson & Co, a British investment and trading firm, as of April 16, 2025. This strategic partnership focuses on reinstating Maclaine Watson's position as a dealer on the London Metal Exchange (LME) and investigating the possibility of trading chromium metal in LME's twice-daily ring auctions.
The collaboration comes at a significant time, as the USA has designated chromium as a critical mineral. This status underscores the strategic importance of establishing a terminal market for chrome in the stainless-steel manufacturing sector. Such a market could provide development capital hedging mechanisms and improved access to global markets, particularly benefiting Canada.
Founded in the early 19th century, Maclaine Watson & Co was a former LME ring-dealing member until 1985, with extensive operations in London, Indonesia, and Singapore. The MOU between KWG Resources and Maclaine Watson stipulates no financial obligations between the parties, indicating a mutual interest in leveraging their historical expertise and market potential without immediate financial commitments.
