www.platts.com
China Henan Sanmenxia delays restart of idled aluminum capacity
Edited by : AL CIRCLE
1 min read
China Henan Sanmenxia Tianyuan Aluminium's smelter in Mianchi city has delayed the restart of its earlier idled capacity due to unfavourable market conditions, a company source said Thursday.
The plant was originally scheduled to resume full capacity in June, but was now expected to restart next year.
"There are many issues affecting the plans to restart -- funding due to tighter monetary policies, higher power costs, and expected power cuts in the near term," the company source said. "We are now doubtful that we can restart anytime this year," he added.
The 120,000 mt/year smelter had shut down 70,000 mt/year capacity in October 2010 on the back of the government's power rationing measures at the time. It has been producing at 50,000 mt/year capacity since the cutback.
"In 2011, we expect to maintain actual production at about 50,000 mt. We also expect power cuts, but we doubt it will impact out production as we are a small producer," the source said.
The Mianchi smelter is a subsidiary of the Henan Sanmenxia Tianyuan Aluminium Group, which also operates a 150,000 mt/year smelter in Hubin city, within the Sanmenxia region.
The plant was originally scheduled to resume full capacity in June, but was now expected to restart next year.
"There are many issues affecting the plans to restart -- funding due to tighter monetary policies, higher power costs, and expected power cuts in the near term," the company source said. "We are now doubtful that we can restart anytime this year," he added.
The 120,000 mt/year smelter had shut down 70,000 mt/year capacity in October 2010 on the back of the government's power rationing measures at the time. It has been producing at 50,000 mt/year capacity since the cutback.
"In 2011, we expect to maintain actual production at about 50,000 mt. We also expect power cuts, but we doubt it will impact out production as we are a small producer," the source said.
The Mianchi smelter is a subsidiary of the Henan Sanmenxia Tianyuan Aluminium Group, which also operates a 150,000 mt/year smelter in Hubin city, within the Sanmenxia region.
Grow with
AL Circle
