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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Pandolfo extends its homogenizing capacity with Hertwich technology solution
Pandolfo Alluminio S.p.A., a leading Italian extrusion plant, has placed an order with Hertwich Engineering for the supply of a modern Batch Homogenizing Furnace for extrusion billets. Its commissioning is scheduled for August 2016. Pandolfo has been operating a Hertwich continuous homogenizing unit for 50,000 tonnes per year in its casthouse in Maniago since 2010. To increase its capacity by 35,000 t/y this unit is to be supplemented by a batch-type homogenizing unit – also from Hertwich. The new batch furnace will mainly be used for homogenizing special alloys, which favour a batch homogenizing operation due to frequent programme changes. The diameter range processed extends from 178 mm to 482 mm. The production programme demands particularly precise temperature control in the furnace...
Malaysia's A-Rank and LB Aluminium join hands to expand aluminium extrusion business
Malaysia based A-Rank Bhd and LB Aluminium Bhd have entered into a potetial synergy that is expected to yield higher returns for both the business entities in the foreseeable quarters. The companies now have a common single largest shareholder in Datuk Leow Chong Howa, a low-profile local businessman. Leow, 57, the executive chairman and major shareholder of LB Aluminium, surfaced as a substantial shareholder of A-Rank with a 27.74 per cent stake last month. He holds a 30.17 per cent direct stake in LB Aluminium, while his family members own another 15 per cent in the aluminium extrusion specialist. Leow, who was appointed to the board in 1985, had been the managing director of LB Aluminium since its incorporation. A-Rank is the country's largest manufacturer and supplier of aluminium...
Most aluminium smelters shut down in China Hubei
Most aluminium smelters in Hubei province have shut down against losses from falling aluminium prices, leaving just two smelters still running at present, revealed latest industry reports. The province eliminated 127,000-tpy aluminium capacity during the 12th Five-Year Plan period (2011-2015), beating 100,000-tpy target set by the central government. Hubei Qili Huasheng Aluminum and Hanjiang Danjiangkou Aluminum are the only two remaining smelters, with their annual capacity totals 140,000 tonnes, down 65 per cent from 2010, the report added.
SHFE Aluminium to resist declines
SHFE 1605 aluminium proved resistant to declines and is expected to move at RMB 11,700-11,800/mt on Thursday. LME aluminium will range USD 1,488-1,510/mt, with support at the 5-day moving average. In China’s spot aluminium market, spot discounts of RMB 0-40/mt are expected over SHFE 1604 aluminium contract.
CME Group announces first trades of new Aluminium European premium duty-paid futures
CME Group, the world's leading and most diverse derivatives marketplace, today announced that the first Aluminium European Premium Duty-Paid (Metal Bulletin) futures contracts were traded on Thursday, March 24, 2016. A total of 96 futures contracts were traded, equalling 2,400 metric tons. "We are pleased to see early support for our Aluminium European Premium Duty-Paid (Metal Bulletin) contract," said Young-Jin Chang, CME Group Executive Director of Metals Products. "Our new Aluminium European Premium Duty-Paid contract responds to commercial customer demands for a solution to manage their premium price risk and complements our existing suite of aluminium risk management tools." "The European Premium Duty-Paid contract was the missing building block in the Premium markets," said Samuel...
MCX Aluminium up by 0.4% on global trend
Aluminium futures traded 0.41 per cent higher at INR 99.15 per kg, largely in tandem with a firming trend in base metals at the London Metal Exchange (LME). Besides, increased demand at domestic spot markets influenced prices. At Multi Commodity Exchange, aluminium for delivery in current month rose 40 paise, or 0.41 per cent, to INR 99.15 per kg in a business turnover of 145 lots. Metal for delivery in April month contracts was trading higher by 40 paise, or 0.40 per cent at INR 100.80 per kg in 7 lots. Analysts attributed the rise in aluminium prices at futures trade to a firming trend at the LME after the Easter holiday as US home sales climbed, boosting demand prospects, and a weaker dollar made commodities cheaper in other currencies. Globally, aluminium gained 1.9 per cent to $1,504...
Assesment of the supply chain risk and risk management in Amsterdam
A Leading business intelligence service group, BIS Group s.r.o., announced that is organizing an exclusive Supply Chain Risk Management Forum with the senior executives, industry leaders, experts and decision-makers within Supply Chain Industry. BIS group s.r.o. informed Supply Chain Risk Management Forum will take place on 23rd – 24th June 2016, in Amsterdam, Netherlands. The event will be held specifically to disclose how to identify, assess and approach risk in the supply chain and how and which tools to use for effective capturing the necessary data. The Forum will showcase how to optimize through supply chain visibility supply chain operations while minimizing vulnerability and achieving resilience. Moreover, it will teach the best framework and strategies for managing supply chain...
Alcoa, Alumina to sell WA natural gas pipeline stake to Duet Group
Lightweight metals major Alcoa announced that Alcoa of Australia has agreed to sell its stake in DBP, the owner and operator of the Dampier to Bunbury Natural Gas Pipeline (DBNGP), to DUET Group (DUET) for AU$205 million (US$154 million approx.). DBP is currently owned 20 per cent by Alcoa of Australia and 80 per cent by DUET (in aggregate). As part of the transaction Alcoa of Australia will maintain its current access to approximately 30 per cent of the DBNGP transmission capacity for gas supply to its three alumina refineries in Western Australia. The sale is expected to close in early April. The company expects to recognize a gain in connection with the sale of between $10 million and $15 million, after-tax and non-controlling interest, or $0.01 per share. Alcoa of Australia expects...
Iron Mountain eyes bauxite on Solomon Islands
Junior explorer Iron Mountain Mining has secured an option over two bauxite projects in the Solomon Islands. The company reported on Wednesday that it had signed an option agreement to acquire a 50 per cent stake in privately-held Au Capital Mining, which held two prospecting licences in the Solomon Islands. Under the terms of the agreement, Iron Mountain would pay a nonrefundable option fee of A$100 000, and if the company elected to proceed with the transaction, Iron Mountain would issue 20-million of its own shares to Au Capital Mining. A further 20-million fully paid shares would be issued to Au Capital Mining on either the first commercial bauxite shipment, or within 12 months of completion of the transaction. The Au Capital Mining tenements include the Nendo project and the Choiseul...
Ohio park to feature new aluminium art
A public park in Dublin, Ohio is to be the recipient of an aluminium statue that the artist hopes will foster more connectedness in a world that she believes is more and more divided. “We focus too much on what makes us different instead of what connects us,” said Olga Ziemska, an artist from nearby Cleveland. “I am an avid watcher of what connects me to others. I’m always looking for universality and that’s what I try to underline in my work.” With that vision in mind, the Dublin Arts Council awarded Ziemska a US$150,000 commission to install two pieces of art in the city’s Thaddeus Kosciuszko Park. The first part of this installation is named “Feather Point,” and consists of a twenty-one-foot-tall aluminium feather. The second piece, named “Universal Gathering,” is planned to be a cast...
Pre-orders for full-body aluminium Acer Chromebook 14 go up
Acer has released full-body aluminium Chromebook 14 after the spectacular response it received after Chromebook launch. Now, with the new Acer Chromebook 14, the computer manufacturing brand has upped the feel and focus of the product. Chromebook 14 comes with a dual-core Intel Celeron processor along with standard Intel HD graphics integration. It features a 1080p screen at 14 inches, 4GB of RAM, Wi-Fi 802.11ac and up to 12 hours of battery life. The fully aluminium body comes in “Sparkly Silver” and runs under three-and-a-half pounds. The full-body aluminium Acer Chromebook 14 is on pre-order right now for $299.99 online.
Fairfield auto supplier expanding to make aluminium vehicle parts
An automotive supplier in Fairfield is expanding to make aluminium vehicle parts for one of its automaker customers, a company manager told Fairfield City Council members at their meeting Monday. According to market reports, Pacific Manufacturing of Fairfield, a Tier 1 auto supplier to Toyota, was planning an approximately $50 million, 72,000-square-foot building expansion at its facilities on Seward Road. Expansion plans could also add about 60 new jobs over the next three years. The project received approval Monday for the Ohio Job Creation Tax Credit from state authorities, as well as property tax incentives from the city government. “With this new expansion, we’ll expand to a new customer, which will be Subaru. This allows us to advance in new technology, meaning aluminium, more...
US shredded scrap prices up; US aluminium scrap prices stay stable
United States shredded scrap prices up during the week ended March 11, while major US aluminium scrap commodities weekly average prices on Scrap Register Price Index stayed stable. According to TSI, US Midwest weekly shredded index increased $2 a long ton to $203 a long ton this week (delivered mill). The first few days of the March buy-week had initially seen prices soaring, with transactions completed close to $220 a long ton. Prices, however, returned to $190-$200 a long ton as a surplus of scrap began assembling on the East Coast. Elsewhere in the domestic market, scrap supply issues resulted in price increases as mills were unable to get scrap from traditional sources to certain regions. On average, March scrap prices rose $10-$20 a long ton around the country. The weekly average...
MCX Aluminium extends gains on global cues
Aluminium prices on Multi Commodty Exchange strengthened by INR 2 per kg at the non-ferrous market today largely on a firming global trend. Traders said sentiment in aluminium remained firm as its prices firmed up in global markets after the Easter holiday as the US home sales climbed, boosting demand prospects, and a weaker dollar made commodities cheaper in other currencies. Globally, aluminium gained 1.9 per cent to USD 1,504 per tonne. In the national capital, aluminium ingots, sheet cutting, wire scrap and utensil scrap gained INR 2 each to INR 154, INR 150, INR 150 and INR 148 per kg, respectively. Following are today's metal rates (in INR per kg): • Aluminium ingots INR 154 • Aluminium sheet cutting INR 150 • Aluminium wire scrap INR 150 • Aluminium utensils scrap INR 148
India's Warna Minerals files petition against illegal bauxite mining by a Mumbai firm
In a twist to the ongoing issue over bauxite mining in Shahuwadi tehsil in the district, India's Kolhapur-based Warna Minerals on Monday filed a petition in the Bombay high court claiming that it had sought all the permissions, but a Mumbai firm illegally carried out mining at the site. The hearing on the petition will be held on March 31. As per the documents submitted in the Bombay high court regarding the case, the Mumbai-based firm was carrying out bauxite mining on a plateau in Yelwan Jugai village of Shahuwadi tehsil. Earlier, the firm was was carrying out bauxite mining activity in Yelwan Jugai on over 267 hectares. The forest department first objected to it, but the company approached the Bombay high court and received interim permission for carrying out mining in November last...
JSW wins South32 contract at Boddington bauxite mine
Hughes Drilling’s WA division JSW has won contracts with Ramelius Resources and South 32. The South32 contract is at the Boddington bauxite mine for 18 months. Under the contract, JSW will continue to provide blast hole drilling services, utilising four blast hole drills to complete the project. South32 operates the Worsley Alumina bauxite mine in Boddington and alumina refinery near Collie. JSW has provided all blast hole drilling services to the Boddington mine since March 2013. Hughes Drilling’s managing director Bob Hughes said the company was delighted to continue working with South32 because the new contract highlighted the company's strength in delivering safe, long-term, cost-effective drilling solutions to its clients. The two-year Ramelius contract is for grade control drilling...
Bauxite and alumina: Consolidation on the cards?
Bulk commodity producers have continued to struggle during the early stages of 2016, even with efforts made to cut costs, noted a recently published report on global Metallurgical Bauxite & Alumina market. With low bauxite and alumina prices expected to persist and demand from China remaining low, there may be a number of distressed assets coming onto the market throughout 2016, many with the potential for closure, according to the report which has forecasts till 2026. During challenging market conditions, there is often a trend towards restructuring and consolidation of ownership. There is every possibility that 2016 may be particularly eventful for the aluminium industry, a year that has the potential to be defined by a large reorganisation of the corporate landscape. Previously in...
AluSolutions conference programme announced
The AluSolutions conference will provide a platform to discuss the sustainability challenges faced when manufacturing and processing aluminium, as well as a look at the environmental benefits of end-use aluminium products. The conference will be held on 10th – 11th May 2016 at the Abu Dhabi National Exhibition Centre, UAE. The opening session at 10.30am on Day One (10th May) will feature presentations from Emirates Global Aluminium (EGA), Gulf Extrusions, Emirates Environmental Group and the Bureau of Middle East Recycling. Other sessions on Day One will look at sustainable smelting technology, downstream development and recycling & sorting. Day Two (11th May) will host Dr Fiona Solomon, Aluminium Stewardship Initiative (ASI) Director, as keynote speaker. As members of the ASI, Rio Tinto,...
