07:41 AM EDT, 03/11/2025 (MT Newswires) -- Sprott Asset Management LP, a subsidiary of Sprott Inc. ( SII ) , announced Tuesday on behalf of the Sprott Physical Copper Trust that the Trust has entered into an arrangement with a specialized trading house to ship suitable copper (COMEX registered brands) to the United States to "capitalize on the current price arbitrage" between COMEX and London Metals Exchange resulting from the possibility of the U.S. levying tariffs on copper imports.

A statement said this transaction represents an opportunity for COP to use a portion of its copper holdings to monetize the differential between COMEX and LME pricing without material risk to the Trust. John Ciampaglia, CEO of Sprott Asset Management, said: "We will continue to explore opportunities to capitalize on geographic price discrepancies as we scale up the fund."

Under terms of the arrangement, a portion of the Trust's copper will be shipped to the U.S. and subsequently replaced by the counterparty at a location of the Trust's choosing. The total amount of copper the Trust holds will remain constant and the Trust's portion of the profit will be paid in cash. The final economics of the transaction will be determined once the copper arrives in the U.S.