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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Bauxite Resources' current cash burn rate reduces in quarter ended March 2016
Bauxite Resources Limited has published its production report for the quarter ended on March 2016. During the review period, Bauxite Resources completed sale of the company’s interest in the BAJV. Key changes made as a consequence of this were as follows: • BRL received net cash funds of $6m from the sale of its interest in the BAJV for $7.15m and the buy-back by BRL of Yankuang’s shares for $1.15m; • BRL will receive a royalty from the sale of all bauxite mined from the BAJV tenements and the Fortuna tenement (equivalent to 50c/tonne up to 100 million tonnes); • BRL completed the buy-back and cancelled 19.7m shares held by Yankuang; and • Yankuang’s representative Mr Cunliang Lai resigned from the BRL Board. Exploration activities were minimal for the quarter in its remaining joint...
NZ Supreme Court rejects aluminium smelter's bid to challenge $20 mln lieu days decision
The Supreme Court of New Zealand has rejected an application by the operator of the Tiwai Point aluminium smelter to challenge a High Court decision requiring it to stump up some $20 million in back-pay after a complaint from the smelter workers' union that they were underpaid for days in lieu. The Court of Appeal had already rejected the arguments put forward by New Zealand Aluminium Smelters, a company majority-controlled by Anglo-Australian metals giant Rio Tinto against the 2013 High Court decision. In essence, the case boiled down to workers being paid out for lieu days as if they normally worked eight hour days when their shifts were routinely 12 hours. "I welcome the certainty the Supreme Court's decision has given us," said NZAS chief executive Gretta Stephens. "Right now we are...
Satechi launches Aluminum Mini Docking Station for Windows and Mac
Popular peripheral maker Satechi is launching a new compact hub for Macs called Aluminum Mini Docking Station. The new hub expands one USB 3 port into four USB 3 ports plus adds access other networking and audio/video ports. Like a lot of other Satechi hardware, Aluminum Mini Docking Station is color-matched in silver to fit in with an iMac or Mac mini too. Specifically, Aluminum Mini Docking Station includes two front-facing USB 3 ports and a front-facing 3.5mm audio port plus two more USB 3 ports on the back next to a gigabit Ethernet port, HDMI port, and DVI video port. Satechi says the HDMI port supports 4K output or multiple monitors simultaneously with the DVI out. The specifications do not list the refresh rate but typical for Displaylink USB 3 is 30Hz at 4K or 60-120 at 1080P. In...
The Coca-Cola Co relaunches Hi-C Ecto Cooler in aluminium cans
The Coca-Cola Co has said it has again listened to consumer demand as it brings back the 1980s fruit juice-flavoured drink Hi-C Ecto Cooler in freshly designed aluminium cans. The company said websites dedicated to 1980s and '90s nostalgia have name-checked the brand, and "a growing legion of social media fan groups have clamoured for a comeback". "Those communities convinced Coca-Cola to give the brand a curtain call," it added. Hi-C Ecto Cooler will be sold in 10-packs of 6-ounce juice boxes and in 6- and 12-packs of 11.5oz aluminium cans. The aluminium beverage cans, which will be available in selected locations including major online retailers, feature thermal ink printing technology that turns green when chilled. Aluminium has always ranked as the topmost medium for beverage...
Aluminium-bodied Jaguar XF L unveiled at Beijing Motor Show
Jaguar took the wraps off an extended version of the aluminium-bodied XF at the 2016 Beijing Motor Show, with 140mm added to the wheelbase giving rear passengers 157mm more legroom and 116mm more kneeroom. According to Jaguar, 90 per cent of executive saloon cars are bought in China in long wheelbase form, with the new XF L being the first aluminium-bodied car built in China. It’s being built as part of JLR’s joint venture with Chery at a new state-of-the-art manufacturing plant in Changshu. The new aluminium-bodied car also debuts a couple of new tech features: As many of these cars will be chauffeur driven, there’ll be wifi for rear passengers, along with the option of folding tables, massaging seats and electric window blinds. And for the driver, the latest InControl Touch Pro...
Profit at aluminium extrusions maker Impol surges 80% in 2015
Impol Group, which operates under the auspices of its holding company Impol 2000, posted strong financial growth for the year ended December 2015. The net profit of the group jumped 80 per cent to EUR 22.5m in 2015 over 2014, according to audited results published on Tuesday. Revenues of the Group, meanwhile, surpassed the half billion mark for the first time. At EUR 546.1m, they were higher by 12 per cent when compared to the corresponding period previous year- making these the best results ever. Impol manufactures a wide range of rolled and extruded aluminium products and excels in supplying them in customized varieties to a global clientele spread across a diverse industries comprising automotive, defence, transport, construction, food, and pharmaceuticals. Impol is also making headway...
Aluminium supply to tighten, prices to rise: Rusal’s Soloviev
Global demand for aluminium will continue to remain strong as worldwide supply tightens. This will raise prices from seven-year lows, says Vladislav Soloviev, chief executive of Russia’s UC Rusal, the world’s second-biggest aluminium producer. Exports of processed aluminium from the People’s Republic of China are expected to drop thanks to investigations of the fake semis market and resulting anti-dumping measures taken by the United States, Australia, and the European Union, explained Soloviev. “Rusal estimates that [global] aluminium consumption will grow by 5.7 per cent to 59.5 million tonnes this year,” he told the South China Morning Post. “Chinese growth is expected to continue to be strong at 7 per cent year-on-year in 2016 to 31 million tonnes.” He went on to explain that the...
MCX aluminium softens on reduced industrial demand
Aluminium prices declined by INR 2 per kg in Indian non-ferrous market on Tuesday, April 26, due to reduced industrial offtake. However, other base metals held steady in thin trade. Traders said fall in demand from consuming industries mainly led to the decline in aluminium prices. In the national capital, aluminium ingots, sheet cutting, wire scrap and utensils scrap were down by INR 2 each to INR 155, INR 151, INR 151 and INR 149 per kg respectively. Following were the metal rates on April 26 in the national capital (in INR per kg): • Aluminium ingots INR 155 • Aluminium sheet cutting INR 151 • Aluminium wire scrap INR 151 • Aluminium utensils scrap INR 149
LME aluminium likely to find support around moving average, SMM says
Aluminium at London Metal Exchange will move at USD 1,530-1,550/mt today struggling around the 5-day moving average, Shanghai Metals Market foresees. SHFE 1606 aluminium will move at RMB 12,750-12,900/mt, testing support at the 5-day moving average. Spot discounts of RMB 0-40/mt in China's spot aluminium market are expected over SHFE 1605 aluminium contract. A survey by SMM indicated that base metal in most likelihood would get support from positive China data. Market sentiment in base metal market is expected to improve on Wednesday. “Rising oil price failed to boost Shanghai price in night trading compared with LME market, mainly because of weakening ferrous metals market, and if results of China’s data due for release today are positive, market sentiment will get a lift, but not much...
Yarwun, QAL's relief as alumina prices rise
Aluminium prices have risen slightly and demand is expected to stay strong. With Queensland Alumina Limited, Rio Tinto Yarwun and Boyne Smelters Limited relying on the price of aluminium to ensure their profitability, it is good news. The London Medal Exchange had the aluminium cash settlement price up 6.08 per cent at the close of business on Monday to US$1641 a tonne. The alumina price also increased marginally by 0.75 per cent to $255 a tonne. That is an increase of 28 per cent since December 31, which would be good news for Queensland Alumina Limited and Rio Tinto Yarwun. It still has a way to climb, with the alumina index for Australia at $324.14, 27 per cent higher than what it was on July 1 last year, which is about where it sat two years ago.
EU General Court orders recovery of alumina tax exemptions
The General Court of the European Union issued judgments in joined cases upholding a decision of the European Commission ordering the repayment of tax exemptions granted by France, Ireland, and Italy for alumina production. Each of the countries- France, Ireland and Italy have only one producer, and each exempted its producer from paying excise duty on mineral oil. The Council of the European Union authorised those exemptions until 31 December 2006, the EU General Court said. However, the European Commission ruled in 2005 that this constituted illegal state aid, and that aid granted after 2 February 2002 should be recovered. Aid granted up to that date did not need to be recovered as that would be contrary to "the principles of legitimate expectation and legal certainty", the Commission...
MWSD launches forged aluminium wheel option for Euro 6 tractor units
Motor Wheel Service Distribution (MWSD) has unveiled the latest Xlite and Xbrite+ forged aluminium wheels, designed predominantly for DAF vehicles and petrol and powder tractor units with a weight saving axle. The official UK distributor of Wheels India’s Xlite range has made two eight stud variations available in size 6.75”x17.5” with the 24mm weighing 13.2kg and the 30mm just 13.1kg. Both carry a load capacity of 2,725kg, making them suitable for Euro 6 vehicles. MWSD says the new wheels will be of major interest to vehicle operators who have had to use steel wheels on the weight saving axle as forged aluminium sizes were previously unavailable. John Ellis, managing director at MWSD, said: “Traditionally the wheel used on a weight saving axle has been steel, so to bring forged aluminium...
Second-generation Audi TT RS gets an aluminium engine block
Audi TT RS enters the second generation. The newly launched offering from the luxury car brand which is all set to make its world premiere at the Beijing motor show in both Coupe and Roadster forms, sees the same 2.5-litre five-cylinder turbo engine concept, but with a revamped engine block now made from aluminium rather than steel. Audi TT RS power is rated at 400hp – up 60hp from its predecessor – while the maximum torque of 480Nm is achieved between 1,700-5,850rpm. Transmission hardware include an uprated seven-speed dual-clutch automatic gearbox and Quattro all-wheel-drive system. The new-gen TT RS comes with pronounced-looking air vents up front, two large exhaust pipes and spoiler at the rear. Generous splashes of aluminium, carbonfibre and RS letterings on both the exterior and...
Constellium Board to nominate Jean-Marc Germain as an Executive Director
Constellium N.V. has announced that the Board will nominate Jean-Marc Germain as an Executive Director at the company’s next Annual General Meeting of Shareholders to be held in June 2016, with the view to him becoming Chief Executive Officer of the company in the course of summer 2016. Jean-Marc Germain will succeed Pierre Vareille, who announced in March 2016 his desire to retire as the CEO of the company. “After conducting an executive search process, the Board is delighted to have Jean-Marc Germain join our company,” stated Richard (Dick) Evans, Chairman of Constellium. “Jean-Marc Germain has a successful long track record in the aluminium industry, both in Europe and in the United States. With this extensive experience, Jean-Marc is uniquely qualified to help us continue to execute...
Unique aluminium can recycling unit set up at AfrikaBurn festival in the Karoo, SA
AfrikaBurn festival 2016, which kicked off yesterday in Northern Cape Province of South Africa, is going to set new standards of excellence in terms of environmental sustainability. The organizers of the event this year have come up with a unique initiative which will see visitors making it to the festival with aluminium cans leaving with a piece of jewellery rather than a bulging plastic bag of trash. A team of "burners" from Johannesburg, formed separately to manage this programme, has set up a smelter at this year's festival which will be used to turn empty aluminium cans into recycled products of substantial user value. Spokesman Alexandra Hutchison said she and Helter Smelter leader Saul Abelson had been refining the idea since the middle of last year. Their smelter meant for...
Shanghai aluminium near 10-mth high amid slow restarts in China
Shanghai aluminium futures jumped to their highest level in nearly 10 months on Monday, tracking gains on the London Metal Exchange amid optimism about a demand pick-up up in top consumer China. While demand is recovering, restarts among aluminium smelters in China after production curbs last year had been slow, tightening supply. "The whole restarting process has been very slow," said Jackie Wang, analyst at CRU consultancy in Beijing. This is supporting prices as demand recovers after a series of policies from the Chinese government to boost the real estate sector including lower downpayment and interest rates, said Wang. The most-traded aluminium for June delivery on the Shanghai Futures Exchange rose as far as 13,075 yuan ($2,010) a tonne, its strongest since July 2, 2015. It closed...
Chinese aluminium smelters to face higher power costs
Profit at Chinese aluminium smelters kept expanding, but now is not the time to cheer up yet, SMM noted. Power tariff subsidies to smelters in Qinghai have been cut following aluminium price gains. This, together with rising alumina prices, will deter smelters in Qinghai from bringing idled capacity back online, SMM expects. No adjustments have been made in power tariff subsidies to smelters in Gansu, but previous power tariff subsidies have not been fully in place, SMM learned. Besides, rising coal prices will add to power costs at smelters with captive power, SMM added. With aluminium prices rising above 12,200 yuan per tonne, profit at Chinese aluminium smelters surveyed by SMM has expanded to more than 1,200 yuan per tonne.
Alba Reduction Maintenance & Services achieves 2.5 mln work hours without LTI
Aluminium Bahrain B.S.C. (Alba), the Bahrain-based international aluminium smelter, announced that its Reduction Maintenance & Services department has achieved 2.5 million work hours without Loss Time Injury (LTI). This achievement emphasises Alba’s continuous drive to maintain a zero accident work environment within the company. Commenting on this occasion, Alba’s Chief Executive, Tim Murray said: “Safety achievements are a collaborative effort and represents the level of awareness of all Alba employees. I would like to congratulate our employees for accomplishing this feat and working towards our infinite objective of achieving a zero accident work environment." Alba strengthens its safety culture through numerous campaign throughout the year, which focus on plant-wide as well as...
