AL Circle Analysis: Aluminium’s recycling economics, trade walls and carbon rules converge
The story of the aluminium industry is starting a chapter wherein scrap availability, recycling technology, trade policy, carbon costs and demand growth are becoming increasingly interconnected. From the US and Canada to Europe, India, New Zealand and China, recent developments show that the global aluminium supply chain is being reshaped on several fronts at once. These developments point to a changing aluminium business model: access to metal alone may no longer be enough. Quality of recycled feedstock, domestic processing capacity, carbon intensity, trade exposure and the ability to meet increasingly specific customer requirements could become equally important competitive factors. Join the fourth edition of the webinar “Hedging for recyclers - Become an expert in 6 hours” by Jorge...
Europe holds 10% of global aluminium extrusion demand, supported by Germany’s Constellium, France’s Hydro Extrusions & Italy’s Metra
Across Europe, aluminium extrusion has become closely woven into some of the region’s biggest industrial and construction markets. From automotive and transport to buildings and industrial applications, extruded profiles are finding demand across a wide range of sectors. This is reflected in Europe’s position in the global market: the region accounted for 12 per cent of global aluminium extrusion capacity, making it the second-largest regional contributor after China. At the same time, Europe represented 10 per cent of global aluminium extrusion usage, out of total global usage of 35.35 million tonnes . With production capacity and usage shares relatively close, Europe’s extrusion capacity and consumption are broadly at par. If we break down Europe’s 10 per cent share of global aluminium...
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Rusal and Maersk Line sign letter of intent
UC RUSAL, a leading global aluminium producer, and Maersk Line, the world's largest container shipping company, today announced they have signed a three year letter of intent for long-term cooperation in the maritime transport sector. Under the agreement, RUSAL and Maersk Line have agreed to cooperate for the long-term with regard to cargo container shipments of RUSAL’s products, particularly aluminum and alloys, by Maersk’s container fleet and ships. The cargo volume is estimated to be up to 10,000 containers per year. The agreement is valid for three years with the possibility of further extension. “The signing of this agreement is a confirmation of the mutual intentions to build a long-term strategic partnership between RUSAL and Maersk Line. The aim of the agreement is the joint...
China’s 2016 alumina output to rise 5% on year to 61 million mt: Antaike
China’s alumina output in 2016 is expected to reach 61 million mt, up 5.2% from realized output of around 58 million mt in 2015, an analyst from state nonferrous information division Beijing Antaike said Tuesday. The forecast figure was also up 17.3% from the 52 million mt produced in 2014 and up 30% from from 47 million mt in 2013, Antaike figures showed. China’s alumina production capacity is also expected to increase to 74 million mt/year by end 2016, up 7.2% from 69 million mt/year at end 2015, the Antaike analyst said. The country’s alumina capacity stood at 65 million mt/year at end 2014 and 60 million mt/year at end 2013. The forecast increase in output was attributed mainly to numerous refinery restarts of idled capacity earlier this year, as well as several new refinery...
Aluminum consumption in China automobile industry to fall in May
Aluminum consumption in China’s automobile industry grew 4.4% year-on-year in April, but is expected to drop slightly in May, cmn.com reported. China’s automobile production and sales used to fall back in May in years past, and this year will be no exception. Car dealers were facing heavy inventory pressure. As such, aluminum use in automobile industry will take a hit. Aluminum use in domestic automobile industry was 277,000 tonnes in April, down 13.9% from March. Year-to-date use through April totaled 1.12 million tonnes, up 5.8% from a year ago, with the growth up nearly 2 percentage points. Positive impact from purchasing tax cut for passenger vehicles with engines at or below 1.6L is fading. However, new energy vehicle production and sales remained strong.
Africa still a success story for Nampak
The cooling of economic growth on the continent, mainly brought about by the commodities rout, has failed to dampen Nampak’s performance. Its operations on the continent excluding SA, now account for 47% of group trading profit, up from 38% last year. Nampak’s big beverage can production lines in Nigeria and Angola are capable of churning out about 2.7-billion cans a year between them. Nampak CEO Andre de Ruyter said the group’s foray into Africa had been vindicated by African revenue growth of 30% in the interim period from the period last year — despite foreign exchange losses. Margins were much higher on the continent than in SA, boosted by the strong growth in turnover. He said on Wednesday that the group was saving R120m a year on better procurement with major suppliers. It was also...
Nanshan Aluminum takes another step in extending value chain
Shandong Nanshan Aluminum Co. has taken another important step in extending its aluminum value chain by acquiring aluminum and power assets and stepping up high-end aluminum applications, Huachuang Securities reported. Nanshan Aluminum planned earlier to issue shares to acquire Shandong Yili Power Co. This move would expand Nanshan Aluminum’s annual aluminum capacity significantly to 816,000 tonnes and reduce its production costs. Besides, Nanshan Aluminum has put online 200,000-tpy special aluminum flat-rolling project, which mainly targets aerospace applications and automotive aluminum sheet. The company has realized supply of automotive aluminum sheet in domestic market on a small scale and has begun taking orders for automotive aluminum sheet from customers in North America on a trial...
Hydro unveils advanced aluminium recycling upgrade in Luxembourg
Hydro’s aluminium recycling plant in Luxembourg hosted royalty, government officials, and business leaders on June 1 when it unveiled an extensive upgrade with production and environmental benefits. (Plant manager Ludovic Dardinier (right) explains the different scrap sources. EVP and head of Primary Metal, Hilde Merete Aasheim (left) and head of Hydro’s remelters, Roland Scharf-Bergmann). Hilde Merete Aasheim, Head of Primary Metal, Roland Scharf-Bergmann, Head of Recycling, and Clervaux Managing Director Ludovic Dardinier hosted the ceremony. His Royal Highness le Grand-Duc Héritier of Luxembourg and Prime Minister Xavier Bettel were invited. The €15 million upgrade has two key features: it allows the plant to take in more post-consumed aluminium scrap and increase output to more than...
Alba on schedule with its Line 6 Expansion Project
Aluminium Bahrain B.S.C. (Alba), the Bahrain-based international aluminium smelter, is on track to meet its strategic growth by accelerating the early works on Line 6 Expansion Project, according to a statement issued by the Chairman of Alba’s Board of Directors, Shaikh Daij Bin Salman Bin Daij Al Khalifa. The statement was made following the second quarterly meeting for this year, which was held on Wednesday, June 1, 2016 at Alba. Adding further, Shaikh Daij said: "Alba’s status as an international producer of high-grade aluminium will be bolstered once Line 6 Expansion Project is completed. We are pleased with the reduced capital cost and fast-paced progress of the Project and, are confident of delivering the first hot metal in early January 2019." During the meeting, the Board reviewed...
Hydro enters into new long-term power contract for Neuss aluminium plant in Germany
Norwegian aluminium company Norsk Hydro ASA's fully owned subsidiary, Hydro Aluminium Rolled Products GmbH, has secured a power contract with Axpo Trading AG, a Switzerland-based energy company with captive power production and international trading activity, totaling 1.3 TWh (150 MW) annually in the five year period from 2021 to 2025. The power contract supplements the power contract which was entered into in July 2015, totaling 0.9 TWh (100 MW) annually in the eight year period from 2018 to 2025. These two contracts replace an existing combination of internal and external power arrangements entered into in 2012, supplying Hydro Neuss primary aluminium plant with a total of 2.2 TWh (250 MW) annually in the period from 2013 to 2017. In the period from 2018 to 2020, the remaining 1.3 TWh...
China demand to drive 15 year-long bauxite boom, says Rio Tinto
China’s quest for raw materials for its aluminum smelters and alumina refineries promises to deliver a 15-year boom for exporters of bauxite, according to Rio Tinto Group, which is spending $1.9 billion to raise output. Global demand is already growing rapidly and will outpace the 4 percent-a-year lift London-based Rio forecasts for aluminum in the medium-to-longer term, Alf Barrios, chief executive officer of the producer’s aluminum unit, said in an interview posted Thursday on the company’s website. “Bauxite is a different story,” Barrios said. “China’s bauxite demand growth is forecast to be significant over the next 15 years, and it is something we are very keen to capture.” Rio’s Amrun development on Queensland’s remote Cape York peninsula, approved last year, will produce about 23...
Jaguar's aluminium enriched 2016 XF diesel model reaches India
Jaguar has imported its all-new XF model to Indian shores. Currently, the British-based automobile manufacturer has imported two units of the XF. Two variants have been imported from the United Kingdom which are the Portfolio and Prestige variants. Powering the 2016 Jaguar XF is a 2.0-litre diesel engine in two state of tunes. On offer will be a 163bhp and 180bhp tune options, and both engines will be mated only to an 8-speed automatic gearbox. Internationally, the XF also gets a manual transmission, which will not be offered in India. The 2016-edition of the Jaguar XF is currently in its second generation avatar. The all-new XF is based on the company's iQ platform. Extensive use of aluminium will be used in the construction of 2016 Jaguar XF model. Overall the luxury sedan will lose...
Central Southland College student builds aluminium-frame drone
A Southland international student, keen to improve his technical skills, has built a drone from scratch. Central Southland College year 13 student Adrian Burkard, from Switzerland,? began work on his quadcopter drone last year. "The first time I flew it, I crashed it," he said. The mishap, which happened in December, meant Burkard had to go back and figure out what went wrong. He did just that - and was able to successfully fly the drone to a height of 250 metres during a flight in May. Burkard said he had always been fascinated by flying machines, and wanted to build a drone because it would be a good challenge and would improve his technical knowledge. Everything was built from scratch, which he said made him appreciate the process more. The aluminium-frame drone has four propellers...
Environmental artists exhibit remarkable creativity with recycled material
The current “Own Your Rubbish” art exhibition at the National Gallery of Zimbabwe in the capital attests to the astonishing work evolving from degenerated objects. A number of artifacts were displayed using remelted aluminium scrap. An exquisite “Symbolic Installation Walkway” which is a brainchild of Laurie Macpherson representing the main rubbish categories at home and globally stands tall and peacefully in the main entrance of the Gallery with an aluminium frame, elegant suspended decorations of cut-offs from bottoms of plastic bottles of your soft drinks, several wine bottles of colour rising to the dome in an arc constructional section, beautiful colourful ceiling decorated with full sized soft drink plastic bottles and VHS video cassette ribbons, cut and flattened soda cans and...
'Twisting' Vitreous enamel cladding for Oman Airport Tower
Ekurhuleni-based Vitrex designed and supplied unique 'twisted' vitreous enamel cladding for the Air Traffic Control (ATC) Tower at Muscat International Airport in the Sultanate of Oman. Vitraclad heavy gauge panels, exported by Vitrex to cover around 4000m2 of the fins of the Tower, were installed by the project's main contractor, Carillion Alawi LLC. Cristian Cottino, Sales & Marketing Director of Vitrex, says the company developed the cladding system for the challenging, complex design in close collaboration with Quality Architectural Systems LLC (QAS) (Dubai) and QFS B.V. of The Netherlands. "The use of flat, rectangular panels also enabled Vitrex to substantially reduce the number of panel types required. These panels were ‘twisted’ when secured to purpose-made, adjustable brackets...
BURNDY launches Aluminum Lay-in Lugs for solar panel applications
BURNDY, a leading manufacturer and provider of connector, grounding and tooling solutions to multiple markets, announces new additions to their grounding product line. The new aluminum lay-in lugs are most suitable for solar panel applications. The connectors are for use with frames with a maximum thickness of 1/4 inch. They may also be used for cable to bus or cable to steel connections where the lay-in feature is necessary. Manufactured using high strength aluminum alloy, these connectors have the versatility to be used with aluminum and copper conductors. The serrations are provided to establish better contact and cut through oxidation, ensuring low contact resistance and high conductivity. The anodization on aluminum rails is nonconductive and electrical current cannot pass through...
Napco posts $12.4m revenue in Q1
Oman-based National Aluminium Products Company (Napco), a leading extruder of aluminium in the GCC, said it has achieved OR4.8 million ($12.4 million) in revenues during the first quarter ending on March 31. The company reported a net profit of OR141,000 ($366,233), said a statement from Napco. Napco has invested in two new extrusion press machines to bolster its production, with one already in operation while the fourth press still in its trial phase and will be operational by end of this month, it added. The company has also acquired a vertical powder coating line, a new technology that will create new products while it improves efficiency, save on cost, as well as ensure environmental sustainability, it said. Robert Holtkamp, chief executive officer of Napco, said: “The aluminium...
Ess Dee Aluminium reports net loss in the March 2016 quarter
Ess Dee Aluminium reports consolidated net loss of Rs 62.94 crore in the March 2016 quarter. Ess Dee Aluminium reported net loss of Rs 62.94 crore in the quarter ended March 2016 as against net profit of Rs 6.72 crore during the previous quarter ended March 2015. Sales declined 84.15% to Rs 32.60 crore in the quarter ended March 2016 as against Rs 205.67 crore during the previous quarter ended March 2015. For the full year,net loss reported to Rs 86.55 crore in the year ended March 2016 as against net profit of Rs 37.41 crore during the previous year ended March 2015. Sales declined 46.40% to Rs 456.21 crore in the year ended March 2016 as against Rs 851.13 crore during the previous year ended March 2015. The stock is down 5.64% or INR 4.4 after the news, hitting INR 73.6 per share. Ess...
C M Downton wins £12m contract with Sapa Profiles UK
Logistics company C M Downton has won a three-year, £12 million renewal contract with aluminium extrusion producer Sapa Profiles UK. It will continue to run the company’s national distribution, delivering from Cheltenham, Tibshelf, Redditch and Birtley. The logistics company also runs an inter-site transfer operation, as well as handling shunting at three of the main sites. The new contract will see Downton increasing its operational support team – seven members of staff will now operate out of three of Sapa’s facilities. “Sapa Profiles UK has been a key Downton client for over six years,” said Andy Downton, managing director of Downton. “It is a successful partnership that has strengthened with every passing year. We are extremely pleased to be continuing and extending the contract, and...
Caution to dominate SHFE aluminium market
Caution will dominate before the release of China May manufacturing PMI. SHFE 1607 aluminium will move narrowly between RMB 12,000-12,300/mt today. LME aluminum will fluctuate at USD 1,540-1,565/mt, with growing resistance. In China’s spot aluminium market, spot premiums of RMB 80-120/mt are expected over SHFE 1606 aluminium contract.
