London Good Delivery - Platinum

London Good Delivery - Platinum

A primary function of the London Platinum and Palladium Market (LPPM) is facilitating international distribution and acceptability of platinum plates and ignots produced by their refiners. Historically, the members of the London bullion market compiled lists of accredited smelters and assayers whose platinum they would accept without question in settlement against transactions conducted in the market.1

Today, refiners of platinum have to meet the stringent requirements set by the Management Committee of the LPPM, outlined in “The London/Zurich Good Delivery List.” The Good Delivery List describes the standards to which platinum must conform to in order to be acceptable. As a result the LPPM Good Delivery accreditation has become an internationally-accepted standard of quality. Under the LPPM’s Proactive Monitoring system the LPPM routinely monitors the quality of the production and assaying ability of refiners on the Good Delivery List.

Good Delivery rules for refiners

Refiners wishing to apply for Good Delivery status submit applications to the LPPM Chairman. After receiving the application, the LPPM Management Committee decides whether or not the refiner meets all of the relevant listing criteria:2

  • The applicant has been in existence for not less than five years and has been involved in refining and/or manufacturing operations of platinum for not less than three years prior to the application
  • The applicant has an established annual refining production (which need not be in the form of standard plates or ingots) of not less than 500 kilograms
  • The applicant has a tangible net worth of not less than the equivalent of £10 million or such figure as the LPPM may from time to time determine

Good Delivery Rules for platinum bars

Details of the specific standards required for inclusion on the London/Zurich Good Delivery List are published by the LPPM in “The Good Delivery Rules for Platinum and Palladium Plates and Ingots,” available on the LPPM website.

Generally, to qualify as Good Delivery metal, platinum bars must conform to the following specifications:3

  • Form: plate or ingot
  • Weight: maximum 6 kg (192.904 troy ounces), minimum 1 kg (32.151 troy ounces)
  • Purity: at least 99.95% platinum
  • Markings (each plate or ingot must bear):
    • A serial number
    • Fineness (to four significant figures)
    • The producer’s recognised mark
    • The letter PT or word PLATINUM with a stamp indicating the purity
    • The weight in grams or troy ounces (if in grams to one decimal place, if in troy ounces to three decimal places)
    • Year of manufacture
  • Appearance: smooth, free from cavities and easy to handle

Proactive Monitoring

The Proactive Monitoring system went into effect on January 1, 2009 with the aim of ensuring the integrity and enhancing the reputation of the list and the refiners on it. The system involves the refiner submitting a sample taken from their normal production process for testing by the LPPM’s Good Delivery referees. In addition to refiners on the list having their assaying ability independently tested, they are required to provide the LPPM with certain production and financial data.1

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