Domestic spot alumina prices edged down slightly last week amid flat trading activity. Recent alumina price movements were mainly attributed to earlier concentrated restocking by downstream buyers, which has led to accumulating inventories at rail stations and smelters. Coupled with supply-side maintenance-driven output cuts that are still building, readily available spot volumes have tightened relatively. Only sporadic tender deals were heard recently, leaving prices in a temporary steady phase. On the bauxite front, domestic ore prices saw limited movement last week. Supply-side bottlenecks are unlikely to ease in the near term, with mines prioritising captive supply, leaving little excess spot material available. For imported ore, freight rates rebounded slightly and consecutively last...
The global aluminium supply chain is facing a series of changes that extend from bauxite mines and alumina refineries to smelters, regional premiums and finished-metal trade. In 2026, the market’s direction is being shaped not only by production volumes but also by freight costs, export restrictions, shifting Chinese demand and tariffs. Developments across Guinea, Australia, China, Europe and North America point to a market where access to supply is increasingly as important as the availability of raw materials. Bauxite supply: Guinea’s cap meets a well-stocked China, but is it stable? Guinea remains central to the seaborne bauxite market, with its shipment connections to China demonstrating the importance of reliable logistics. A new sea-rail route has enabled a Guinea bauxite shipment...
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On December 17, 2024, Chevron, one of the world's leading integrated energy companies with a presence in Australia for over 70 years, Chevron Australia announced that it will supply aluminium producer Alcoa with 130 petajoules of natural gas over a 10-year period starting in 2028. Chevron Corporation is an American multinational energy corporation specialising predominantly in oil and gas. According to Chevron Australia's statement, the gas will be sourced from its Gorgon and Wheatstone facilities, which have a combined capacity of 530 terajoules per day, and the North West Shelf Venture, all located in Western Australia. As reported by Reuters, Alcoa confirmed that the gas will power its alumina refineries in Western Australia. In 2020, Alcoa secured gas supply agreements with Chevron,...
The natural gas supply to the Pinjarra alumina refinery in Australia, which has an annual production capacity of 4.7* million tonnes, has been unexpectedly disrupted on December 10, 2024. This interruption caused a power outage and a substantial caustic soda spill at the facility. However, full production capacity is expected to be restored within 7-10 days. Independent news and insight into energy, industry and climate in Western Australia, Boiling Cold reported that a company spokesperson stated the incident disrupted process flow, and clean-up operations for the spills began promptly. Image credit: Pinjarra Paceway Information credit: SMM; Boiling Cold *https://www.alcoa.com/australia/en/pdf/refining-pinjarra-fact-sheet.pdf
Shares of NALCO saw a sharp decline of over 7 per cent on Thursday, December 12, dropping to their lowest point of the day. Answering to the question of why several key factors have weighed in on this nationally and internationally. The primary trigger appears to be the movement in alumina prices, a critical raw material for aluminium production. NALCO, being one of the leading players in the alumina market, is particularly sensitive to these transnational price fluctuations, especially as the state-run company sells a significant portion of its alumina on the open market. Post alumina prices surge from US$600 to US$820 per tonne in the past few months, they have cooled off recently to around US$700 per tonne contributing as a major factor to this decline. There is also the reduced demand...
The UK's biggest wagon and tank container fleet, VTG Rail UK, which provides its customers with logistical expertise and innovative digital solutions, has secured a significant ten-year wagon leasing agreement with ALVANCE British Aluminium, a prominent player in the aluminium manufacturing industry. Commencing in January 2025, the partnership will see VTG leasing 20 JPA powder tank wagons to ALVANCE, which joins VTG's growing roster of esteemed clients. This deal marks a notable addition to VTG's expanding client portfolio. The JPA wagons are set to be upgraded with VTG’s groundbreaking iWagon technology, a state-of-the-art innovation revolutionising the rail freight industry. This upgrade will enhance tracking and operational efficiency, equipping ALVANCE with advanced capabilities to...
China’s metallurgical-grade alumina production continued to grow in November 2024, driven by expanded capacity. As of December 6, China’s metallurgical-grade alumina capacity stood at about 103.02 million tonnes, up by 0.31 per cent from 102.7 million tonnes in the previous month. Image Source: Made-in-China Operating rate and output volume According to the Shanghai Metals Market survey, the actual operating capacity of alumina refineries increased by 3.24 per cent in November, compared to a 2.93 per cent growth in October, leading to a record-high capacity. The operating rate in the specified period stood at 86.63 per cent against 84.22 per cent in the previous month. The increased capacity and operating rate drove China’s monthly alumina output in November. Month-on-month, the...
Bauxite residue, commonly known as red mud, is a highly alkaline by-product generated during the Bayer process of alumina extraction from bauxite ore. With global alumina production steadily increasing to meet the demands of various industries, the volume of red mud produced has surged correspondingly, posing significant environmental and management challenges. The red colour is due to the presence of iron oxides (along with other oxides). The multifaceted nature of red mud demands an immediate and thorough understanding to mitigate its adverse effects and harness its potential benefits. Red mud contains unreacted minerals, metal oxides, and caustic soda, making it toxic if not managed properly. Its disposal has traditionally involved storage in large containment areas, which poses risks...
Alumina production in South America reached this year’s peak, marking a month-on-month hike of 9.3 per cent and a year-on-year increase of 5.52 per cent, found the International Aluminium Institute (IAI) survey. This significant increase in South America’s alumina production contributed to the world’s output to a new high, in addition to many other major alumina-producing countries or regions. Image Source: IAI According to IAI, South America produced 1.07 million tonnes of alumina during October 2024, compared to 979,000 tonnes in September and 1.014 million tonnes in October 2023. The daily average output was 34,500 tonnes in October, reflecting a month-on-month increase of 5.83 per cent from 32,600 tonnes and a year-on-year rise of 5.5 per cent from 32,700 tonnes. From January to...
In a significant development for the global aluminium market, Indonesia is poised to become a major player in the industry, driven by its vast reserves of bauxite and a strategic partnership with China. Image Source: https://leadthecharge.org/ According to recent data, Indonesia's bauxite reserves stand at an impressive 1 billion tonnes, making it an attractive destination for aluminium producers. The country's ambitious plan to produce everything in-house, from bauxite to billet, is a key element of the government's broader electric vehicle (EV) strategy. Indonesia aims to produce 600,000 EVs by 2030 and has partnered with four Chinese EV companies - Neta, Wuling, Chery, and Sokon - to build an EV production and export hub in the country. The partnership is expected to bring significant...
In November 2024, the global aluminium industry continues demonstrating resilience and innovation amidst evolving market dynamics. The month has been marked by significant milestones, from groundbreaking advancements in sustainable production and recycling technologies to strategic investments reshaping supply chains. Key developments across major aluminium-producing regions, shifting demand patterns, and policy changes have further underscored the industry's adaptability and forward-thinking approach. This article delves into the most impactful highlights from November 2024, offering a comprehensive overview of trends shaping the future of the aluminium sector. Alumina prices continue to remain elevated, reflecting sustained market pressures. Industry stakeholders are closely monitoring...
According to the International Aluminium Institute survey, the world’s alumina production in October 2024 reached a new high in tandem with the growth across all the major producing regions. The daily average output also exceeded all the previous records, reflecting a month-on-month increase of 2.26 per cent. The monthly production stood at 12.61 million tonnes in October, up by 5.6 per cent from 11.94 million tonnes in September and 3.62 per cent more than 12.17 million tonnes in October 2023. This trend of monthly and year-on-year growth in alumina production is typical for this time of year. Historical data from the International Aluminium Institute (IAI) shows that global production of aluminium ore has consistently exceeded 12 million tonnes every October since 2022. Daily average...
Saint-Gobain Ceramics & Plastics, Inc. has officially filed a petition seeking to impose antidumping and countervailing duties on sol-gel alumina-based ceramic abrasive grains imported from China. The move is aimed at addressing what the company claims are unfair trade practices that have impacted the U.S. abrasive grain market. According to the petition, the investigation will focus on specific ceramic abrasive grains made from at least 94 per cent aluminium oxide (Al₂O₃) and potentially mixed with compounds such as titanium dioxide, silicon dioxide, and zirconium dioxide, among others. These grains, known for their advanced crystalline microstructure and superior abrasive capabilities, differ significantly from conventional fused grains. The grains in question come in various shapes,...
In a recent news piece by S&P Global, the report of Rio Tinto Group removing the halt on alumina exports from its Gladstone refineries in Australia has come up. "... We received notice that [the] FM has been lifted [and] operations are close to normal," an Australia-based trader said. At least four other market sources validated the receipt of the notice. Image Source: https://www.riotinto.com/ Rio had earlier declared force majeure — a legal clause allowing a company not to fulfil contractual obligations from its refineries in Queensland, Australia, due to bounded gas capacity levels at its facility operations. The restriction added to a flood of supply disruptions from Jamaica to China, adding to the set of factors sending alumina prices to record highs since September and squeezing the...
The ASX listed diversified infrastructure services company born out of Australia's greatest engineering challenge, the Snowy Mountains Hydro-electric Scheme, in 1961, SRG Global has secured significant contracts worth A$700 million ($455.35 million) with some of Australia's leading mining companies, including South32, Roy Hill, Pilbara Minerals, and Glencore, spanning multiple sectors. Among the highlights is a five-year contract with South32, set to begin immediately. SRG will provide maintenance and civil services at South32's Worsley bauxite and alumina operations in Western Australia's southwest, focusing on enhancing bauxite residue disposal area embankments. AL Circle's industry-focused report, "A Comprehensive Analysis of Bauxite Residue - Red Mud", stated that it is estimated that...
The decline in South America’s alumina production for two months in a quarter led to a downfall in the total Q3 output. In July and September, South America’s alumina production decreased by 5.36 per cent and 3.83 per cent, respectively, resulting in a Q3 fall of 3.49 per cent from the previous quarter, found the International Aluminium Institute survey. Image Source: Norsk Hydro on LinkedIn In both July and September, South America’s alumina production stood at 1 million tonnes, amounting to 989,000 tonnes and 979,000 tonnes. Only in August did the production volume reach above 1 million tonnes for an intermittent period but edged a year-on-year decline of 1.45 per cent from 1.033 million tonnes. In total, South America’s alumina production through the third quarter of 2024 amounted to...
On Wednesday, November 20, the average alumina spot price in China has ascended by RMB 13 per tonne to settle at RMB 5,659 per tonne. The alumina price has continued its growth trajectory since September. The prices of Lianyungang and Bayuquan have surged by RMB 50 per tonne to peg at RMB 6,050 per tonne. Image Source: Advanced Ceramic Materials (ACM) Corporation On the same day, the prices in Henan and Shanxi have grown by RMB 15 per tonne to settle at RMB 5,665 per tonne and RMB 5,715 per tonne. In provinces like Shandong, Guizhou and Guangxi, the alumina prices have moved up by RMB 10 per tonne to dock at RMB 5,635 per tonne and RMB 5,610 per tonne (Guizhou and Guangxi). The Australian alumina FOB price has gained US$25 per tonne, settling at US$785 per tonne. On the same day, the...
According to the Shanghai Metals Market (SMM) analysis, the average alumina spot price has hiked by RMB 24 per tonne to settle at RMB 5,646 per tonne. W-o-W, the price has grown by RMB 156 per tonne or 2.84 per cent, and M-o-M the alumina price has shown a surge of RMB 1,039 per tonne or 22.55 per cent. Image Source: https://www.mudeffects.com/ Alumina price region-wise The alumina prices have grown in all the provinces, with the highest in Lianyungang and Bayuquan, where it has heightened by RMB 50 per tonne to clock at RMB 6,000 per tonne. In other regions like Henan, Shanxi, Guizhou and Guangxi, the prices have added RMB 25 per tonne to settle at RMB 5,650 per tonne, RMB 5,700 per tonne and RMB 5,600 per tonne (for both Guizhou and Guangxi). In Shandong the alumina price has increased...
IB2, a trailblazer in the aluminium industry, has secured a remarkable €100 million investment secured from a group of financial and industrial investors . This significant funding will be used to pioneer sustainable alumina technology, further solidifying IB2's leading role in the industry. The business has announced that the investment will be utilised to develop and deploy its groundbreaking process further to produce more sustainable alumina. This substantial funding, attained over the past 12 months from financial and industrial investors, including Glencore, marks a pivotal juncture in the company's mission to transform the traditionally energy-intensive aluminium sector. Robin Scheiner, Head of Glencore's aluminium business, expressed sanguinity about the investment, stating, "As...
In a significant judgment, the Chhattisgarh High Court in India has quashed the Korba Collector's (the highest officer of the revenue department in the district) order that imposed a hefty royalty of INR 863.18 lakh (USD$ USD 1.04 million) on Bharat Aluminium Company (BALCO) Limited for vanadium sludge. The High Court Single Bench presided over by Justice Bibhu Datta Guru, found the order to be legally unsustainable, citing an improper examination of both legal and factual grounds. The crux of the Court's decision rested on whether vanadium sludge— a by-product generated during the removal of impurities from bauxite as it is processed into alumina—could be classified as a mineral liable for royalty. Justice Guru ruled that vanadium sludge does not fall within the definition of a mineral,...
