AL Circle Analysis: Bauxite developments, alumina trade & primary aluminium market dynamics across Australia, Guinea, US & India
The aluminium industry is entering another phase of supply-chain repositioning. Across bauxite, alumina and primary aluminium, companies are investing in new resources, consolidating strategic assets and expanding processing capacity, while governments are increasingly treating domestic supply as a strategic priority. The latest developments from Australia, Guyana, Guinea, Indonesia, the US and India point to a market where resource security, processing location and control over supply chains are becoming as important as production growth. At the same time, new trading mechanisms and changing investment patterns are beginning to influence how aluminium and its raw materials reach the market. Bauxite supply expands, but securing the right tonnes is becoming harder In Western Australia, VBX...
China's 22.87 Mt extrusion market faces a structural shift as 317 GW solar growth counters weak construction demand
The global aluminium extrusion landscape is undergoing a structural transition driven by industrial decarbonisation, global electrification, and the rapid deployment of clean energy infrastructure. Historically anchored by civil engineering and residential real estate, demand for extruded aluminium profiles in China, the world’s dominant manufacturing hub, is decoupling from traditional property sectors. Persistent structural weakness in China’s domestic construction market has slowed the consumption of conventional architectural profiles such as window frames, door sections, and curtain walls. Conversely, advanced industrial applications, specifically solar photovoltaic (PV) racking, battery energy storage systems (BESS), power grid modernisation, and electric vehicles (EVs), have...
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Odisha wants Niyamgiri gram sabha polls again to revive bauxite mining
To revive the beleaguered Niyamgiri bauxite mining project in south Odisha, the state government has written to the Union ministry of environment and forests, proposing that gram sabhas in the area be again polled for approval. The mining plan was scrapped two years earlier, after all 12 gram sabhas held in and around this hill range voted unanimously against the project. The referendum was conducted between July 19 and August 20, 2013, complying with a Supreme Court directive to ascertain whether mining in Niyamgiri would affect the religious, community and individual rights of local forest dwellers. Scrapping of the project had dealt a blow to the alumina refinery of Vedanta at Lanjigarh on the foothills of Niyamgiri; this was dependent on the 75 million tonnes of bauxite deposit for...
Olympian Sir Chris Hoy unveils his new aluminium bike: Alto Irpavi
Decorated British Olympian Sir Chris Hoy (in association with Evans Cycle) has revealed his latest range of bikes for 2016: the Alto Irpavi, Aomori and Shizuoka models. Among these three, Alto Irpavi model boasts an exclusive aluminium built. The flagship Alto Irpavi .004 has an aluminium frame equipped with carbon forks, full Shimano Ultegra mechanical groupset and disc brakes, all for £1,800. The Alto Irpavi model was initially conceived almost 18 months ago and is awaiting launch around the end of this year.
Automobile sector and U.S. market buoyancy spruce up Latin America metal die casting market
Latin America has witnessed a considerable growth in the metallurgy and material die casting market over the past couple of years. According to a recently published market research report, highly matured die casting market in North America and spiking automobile sector in the region were the major driving factors for the increasing die casting parts market in the country. Brazil and Argentina state and local governments have lured foreign investors by providing auto manufacturing industry with a variety of incentives such as free land, tax incentives, government-funded education programs and promises of infrastructural investment. This made the OEMs to expand their manufacturing footprint beyond the traditional manufacturing zones in Latin America and now, are found to source individual...
Odisha government plans new clusters for downstream industries
While setting timelines for establishment of proposed industrial clusters, the Government of Odisha on Thursday, October 15, asked the Industries Department to identify areas along the Kalinganagar-Paradip Express Highway for downstream industries. Chief Secretary GC Pati, who reviewed the progress of major industrial clusters including Aluminium Park at Angul and Petrochemical complex at Paradip here at a high level meeting, advised the department to identify new clusters for downstream industries along the railway line to Dhamra. The departments of Revenue and Disaster Management and Industries have been asked to work out a system for land pooling by making the land owner a stakeholder in the new industrial clusters with an assured return like land rent for faster development of the...
SMM aluminum opens at $1,593.5/mt only to end down $16/mt on Oct 15
LME aluminum hovered around USD 1,595/mt after opening at USD 1,593.5/mt on Thursday, October 15. But LME aluminum fell to USD 1,564/mt later as the US dollar index rose while gold and crude oil prices dropped. Finally, the light metal ended down USD 16/mt or 1% at USD 1,579/mt. Trading volumes were up 4,324 lots to 13,158 lots, and positions were up 7,584 to 834,000. On Thursday night, SHFE 1512 aluminum opened lower at RMB 11,250/mt due to falling LME aluminum and other base metals. The most active contract should remain weak between RMB 11,200-11,300/mt on Friday on risk aversion before the weekend. In China’s spot market, sellers will rush to sell, and spot discounts will widen to RMB 80-40/mt over SHFE 1511 aluminum contract.
Mecfor Inc. acquires equipment manufacturer Brochot’s intellectual property
Mecfor Inc. announced the acquisition of the intellectual property of the Brochot SA, France. Until recently, Brochot specialized in the design and manufacturing of equipment for various metal industries, in particular primary aluminium smelters worldwide. Following the acquisition process that began in February, the order for the transfer of intangible assets to Mecfor Inc. was handed down on June 2nd by the Bobigny commercial court in France. Mecfor Inc. is taking control effective immediately and will be in a position to supply equipment, technical support, replacement parts, and service for Brochot products worldwide in accordance with Mecfor’s high quality standards. Highlights: • The intellectual property acquired includes all models, technologies, designs, technical specifications,...
Rio Tinto sustains strong performance in bauxite
Rio Tinto releases strong third quarter production results despite the bearish situation in the commodity market. Rio Tinto chief executive Sam Walsh said “We continue to deliver efficient production, rigorous cost control and sound allocation of capital. This approach is ensuring that our tier one assets generate substantial free cash flow even during a challenging economic environment. Our expanded Pilbara infrastructure is in place, and the Iron Ore Product Group is successfully commissioning and testing the system, reflected in the increased iron ore shipments to our customers during the period. Our cash generated from operations will enable us to deliver strong returns to shareholders through the cycle and our balance sheet will be further strengthened by recent divestment activity.”...
Sharp fall in revenues awaits Indian aluminium companies in Sept quarter
The partial write-back of the provision made for the District Mineral Fund and increase in volumes are expected to save the day for Indian non-ferrous metal companies in the second quarter of this fiscal. However, both ferrous and non-ferrous companies are expected to report a sharp fall in revenue due to lower metal prices. Most of the metal companies have assumed that they have to contribute 50 per cent of the royalty for DMF and made provisions accordingly. However, the Indian government recently notified that the companies have to set aside only 30 per cent of the royalty for DMF. This had come as a major relief for metal companies, which have won mines after paying huge amounts in the recent auction. It is conjectured, non-ferrous companies (producing aluminium, zinc, lead and...
Orbite Technologies ships additional 5N+ High Purity Alumina samples
Orbite Technologies Inc. announced shipment of its additional 5N+ high purity alumina (HPA) samples to seven prospective customers. Six of the prospective customers to receive the new 5N+ samples had not previously received Orbite's HPA. The company had previously shipped 4N8 and 5N+ HPA samples to prospective customers (see April 7, 2015 and September 10, 2015 press releases respectively). "The new 5N+ samples, produced at our Cap-Chat facility, replicate sample purity and consistency of those shipped before, thereby validating the degree of control and customization we have over our process," stated Glenn Kelly, CEO of Orbite. "This is a very important factor that we believe will allow us to differentiate Orbite in a market where product consistency continues to be one of the key issues...
OTC Markets Group welcomes Alumina Limited to OTCQX
OTC Markets Group Inc., operator of Open, Transparent and Connected financial markets, today announced Alumina Limited, a worldwide investor in bauxite mining and alumina refining through Alcoa World Alumina & Chemicals, has qualified to trade on the OTCQX® Best Market in the U.S. Alumina begins trading today on OTCQX under the symbols "AWCMY" and "AWCMF." Each American Depositary Receipt (ADR) represents four ordinary shares. "We are thrilled to welcome Alumina Limited, one of Australia's top 100 largest companies, to the OTCQX family," said R. Cromwell Coulson, President and CEO of OTC Markets Group. "Alumina joins a growing number of large, global companies that have chosen to join OTCQX to provide a superior trading experience for their U.S. investors and convenient access to their...
Covanta begins operations at its Pennsylvania metals processing facility
Morristown, New Jersey-based Covanta has started up its new metal recycling processing operation in Fairless Hills, Pennsylvania. The new facility cleans and sorts metals recovered from a number of Covanta’s energy-from-waste (EfW) facilities in the Northeast. "We are very pleased to get this new facility up and running," says Steve Bossotti, Covanta senior vice president, metals management. "Sorting by material type and otherwise improving the quality of our recycled metal provides us with a new set of capabilities we did not previously have and gives us a higher-value and more saleable end product in all market conditions." The facility has the capacity to process up to 12,000 tons per month and includes access to a deep-water port, which provides the opportunity to load bulk cargo...
Reynaers Aluminium Romania aims to increase its turnover by 75% in 2015
Reynaers Aluminium Romania, one of the main European leaders in aluminium solutions for the constructions industry, aims at a 7 million Euros turnover by the end of this year, which means a 75% increase compared with last year’s business. Also, the company plans to reach a 10% market share on the local aluminium joinery market. After 10 years of activity in Romania, Reynaers counts on a 7 million Euros business and a 10% market share on the aluminium joinery market. The aluminium joinery market has increased by 10-15% in 2015. AFI Park, Oregon Park, Metropol Offices, Malmo Office Towers are the main projects for which Reynaers has delivered products this year. “AFI Park, Oregon Park, Metropol Offices, Malmo Office Towers, as well as institutions such as Clujana Hospital, are among the...
ALUMINUM USA to premiere with more than 150 companies
More than 150 exhibitors from 20 nations will be participating in the premiere of ALUMINUM USA, which will take place in Detroit on 11 and 12 November. With this new trade show, the world’s third-largest aluminum market will get its very own industry meeting place. A glance at the list of exhibitors indicates just how interested the industry is in the event. Besides key US players such as ABB, Aleris, Almex, Bloom Engineering, Granco Clark and Wagstaff, numerous companies from Canada, Europe and Asia will exhibit in Detroit, including UACJ from Japan, SMS from Germany, Danieli & C. Officine Meccaniche from Italy and a large group of companies from Turkey. Nearly two-thirds of all exhibitors will make the trek from outside the US to showcase their innovations and products in this expanding...
Nalco's foray into nuclear energy hits legal roadblock
National Aluminium Company (Nalco)'s plan to foray into nuclear energy generation has hit a legal roadblock. Though the aluminium major proposed to set up a Rs 12,000 crore nuclear energy plant in joint venture with Nuclear Power Corporation of India Ltd (NPCIL), it is unable to go ahead with the project with the present act restricting the sector to only a couple of its own fully owned subsidiaries under the Atomic Energy Department. "We are waiting for suitable changes in the act before going ahead with the investment. We hope it will done soon", said TK Chand, chairman and managing director of Nalco. Currently, NPCIL and Bharatiya Nabhikiya Vidyut Nigam Ltd (BHAVINI) are the two government of India owned companies authorised to set up nuclear power plants in the country. They are...
SMM aluminum market morning review
Aluminum on London Metal Exchange (LME) hovered around the 5-day moving average after opening at USD 1,593/mt on October 14, Wednesday, hitting a session low of USD 1,581.5/mt. But LME aluminum rallied later as gold prices jumped and the US dollar index fell back. Finally, the light metal ended up USD 3/mt at USD 1,595/mt. Trading volumes were down 4,209 lots to 8,834 lots, and positions were up 6,222 to 826,000. On Wednesday night, SHFE 1512 aluminum stabilized above RMB 11,300/mt, supported by weaker US dollar and rally of LME aluminum. SHFE 1510 aluminum has fallen to RMB 11,250/mt on production resumptions at some smelters and expectations for lower power costs. SHFE 1512 aluminum should move between RMB 11,310-11,390/mt on Thursday. In China’s spot market, abundant supply will leave...
LME aluminium still targets $1,562
LME aluminium still targets $1,562 per tonne, as indicated by a Fibonacci retracement analysis and a wedge. The analysis is on the downtrend from the July 2 high of $1,744.50 to the August 24 low of $1,506. It reveals aluminium has broken a support at $1,597, the 38.2 percent level, and is heading towards the next support at $1,562, the 23.6 percent level. The lower trendline of a wedge crosses $1,562 as well. A break below $1,562 could cause a loss to $1,541, the 14.6 percent level, while a break above $1,597 could lead to a gain to $1,625, the 50 percent level.
Aluminium futures soften 0.43% on muted demand, global cues
Aluminium prices were down 0.43 per cent to INR 103.15 per kg in futures trade today as speculators indulged in reducing exposure, triggered by sluggish demand from consuming industries at the spot market. A weak trend overseas also weighed on aluminium futures. At the Multi Commodity Exchange, aluminium for delivery in November traded lower by 45 paise, or 0.43 per cent to INR 103.15 per kg in a business turnover of 561 lots. On similar lines, metal for delivery this month shed 40 paise, or 0.39 per cent to INR 101.60 per kg in 4,406 lots. Analysts said offloading of positions by speculators amid subdued demand in the spot market and a weak trend in base metals at the London Metal Exchange, mainly led to decline in aluminium prices at futures trade.
North American aluminum scrap prices edged higher October 12
The North American aluminum scrap prices ended marginally higher on ScrapMonster Price Index as on Monday, October 12th, 2015. 1100 Scrap prices moved higher by $0.03 per Lb. The prices of 3003 Scrap too increased $0.03 per Lb. An up move of $0.03 per Lb was witnessed in 356 Aluminum Wheels. Meantime, 5052 Scrap and 6061 Extrusions price saw marginal increase of $0.02 per Lb over the day. 6063 Extrusions and 6063 Extrusions/Fe prices too were up by $0.02 per Lb each. The prices of Al/Cu Radiators and Al/Cu Radiators/Fe held steady over the previous day. The prices of Aluminum Radiators increased by $0.02 per Lb. Meantime, Aluminum Radiators /Fe prices appreciated by $0.01 per Lb. Breakage 50% Recovery prices were up by $0.01 per Lb. Aluminum Transformer prices held steady on 12th Oct....
