Wedoany.com Report-Oct. 9, Mercuria Energy Group Ltd.’s new metals division has achieved about $300 million in trading profits so far this year, marking a major milestone in the company’s return to the metals sector after years of focusing on oil and gas. According to people familiar with the matter, the profits include both realized gains and valuations on ongoing positions and contracts for the remainder of the year.

The strong performance highlights a prosperous year for metals trading, even as other commodity markets face challenges. Mercuria’s renewed focus on metals follows sharp price fluctuations and market disruptions that have created profitable opportunities for experienced traders. The company declined to comment on the figures.

Mercuria launched its metals division last year under the leadership of former Trafigura Group metals co-head Kostas Bintas. The unit now employs around 150 traders and operational staff worldwide. This strategic expansion has allowed Mercuria to strengthen its presence in the metals market, where trading margins are usually narrower than in fossil fuels and where the company, mostly owned by co-founders Marco Dunand and Daniel Jaeggi, has previously faced difficulties.

The company’s quick expansion positioned it to benefit from a rare copper arbitrage opportunity earlier this year. As traders diverted shipments originally bound for China, Mercuria became one of the largest importers of copper cathode into the United States, bringing cargoes through ports such as New Orleans, Panama City, and Los Angeles. Bintas described the arbitrage as “the best trading opportunity” he had ever seen.

Alongside copper, Mercuria’s substantial aluminum trading activity contributed significantly to its profits. The company reportedly secured a dominant position on the London Metal Exchange, further consolidating its presence in the global metals market.

Compared with peers such as Vitol Group and Gunvor Group, which entered metals trading around the same time, Mercuria has expanded its team and deal-making activity more rapidly and assertively. Its Asia head, Han Jin — often referred to as the firm’s “third founder” — has played a key role in broadening Mercuria’s reach in China and Africa by establishing partnerships with major enterprises and suppliers.

While this year’s results mark a successful comeback, Mercuria’s previous attempts to expand in metals trading encountered challenges. In 2014, the company was affected by a fraud case involving duplicate warehouse receipts at China’s Qingdao port. Later, it faced losses from a Turkish supplier scandal and a misjudged zinc concentrate bet.

Mercuria’s current momentum reflects a broader trend across the industry. Competitors such as Glencore Plc and Trafigura Group have also posted strong results from metals trading. Glencore’s metals traders earned a record $1.6 billion in the first half of the financial year, while Trafigura, the world’s largest copper trader, reported increased profits driven by strong performance in the metals segment.