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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Jaguar Land Rover presented with 2015 Queen’s Award for Sustainable Development
Jaguar Land Rover has been presented with a 2015 Queen’s Award for Enterprise in Sustainable Development, for reducing the environmental impact of its products and its operations. Jaguar Land Rover’s CEO Dr Ralf Speth today received the prestigious accolade from Her Majesty’s Lord-Lieutenant of West Midlands, Mr. Paul Chandrasekharan Sabapathy CBE. Dr Ralf Speth said “Jaguar Land Rover is honoured to receive this 2015 Queen’s Award for Enterprise in Sustainable Development. We are focused on growing a long-term, sustainable business, as leaders in environmental innovation and making a positive impact on society.” This is the 14th Queen’s Award that Jaguar and Land Rover has received since 1967. It follows a 2014 award for Enterprise in International Trade, for outstanding overseas sales...
Australian Chamber of Commerce and Industry backs deal on RET cuts in Australia
A late night compromise on the nation's renewable energy target had the businesses in Australia celebrating the return of certainty to energy policy and environmentalists worrying that the policy has been watered down too far. The deal between the Coalition, Labor and the crossbenchers will cut the RET to 33,000 gigawatt hours, down from 41,000, after government MPs argued for deeper cuts over 12 months ago. But conditions in the deal include the burning of wood waste, a "windfarm commissioner" to oversee wind power and exemptions for major energy users. Australian Conservation Foundation's Victoria McKenzie-McHarg said winners in the deal were coal-fired power stations and companies wanting to "generate electricity by burning native forest". However, Australian Chamber of Commerce and...
Aluminium production in the world at record highs says IAI
International Aluminium Institute (IAI) that measures the production trend in the world has come out with its latest numbers. IAI has mentioned that the trend of Aluminium production is again on higher side. World Aluminium markets that showed record production numbers in the month of May 2015 after a slight decline seen in April 2015. Data estimates from International Aluminium Institute (IAI) showed that the total primary Aluminium production reached 4.89 million tonnes in the month of May 2015 from 4.373 million tonnes in the month of March 2014. This marks an increase of 11.8% during the period of one year. The production increased 3.16% on a monthly basis in April 2015. The production of Aluminium in April 2015 was 4.743 million tonnes. China remained the major contributor to the...
Jamalco to spend US$500m on coal-fired plant
The Jamalco bauxite mining and alumina refinery will spend roughly US$500 million to build its coal-fired plant as a means to offset its high energy costs, stated Government. The plans were long discussed but it's the first time the authorities have released estimates on the cost. "The mining and quarrying sector will require a significant amount of capital investment in the near future as it carries out plans to transform its energy base away from oil and into natural gas and coal in an effort to reduce overall costs and strengthen global competitiveness. Jamalco's coal solution project with an estimated cost of approximately US$500 million is scheduled to be completed by 2018 fourth-quarter," stated the Government in its annual report to the US debt holders released this month and...
15% Freight Rate cut to ease cost burden on Xinjiang Aluminum Smelters
Shanghai Metals Market reports that the 15% cut on freight rate for shipping aluminum ingot out of Xinjiang effective from June 12, will cut down costs for local smelters in the midst of low aluminium price. SMM’s research team analyses that the discounted rate will save 75 yuan on per ton of aluminium on containerized shipments and 96.3 yuan per ton on bulk rail shipments. Due to reach coal resources in Xinjiang and low cost availability of the same, Aluminum smelters in Xinjiang enjoy low production costs compared to other aluminium producing provinces of China. However, SMM is of the opinion that this 15% cut on freight rate for shipping aluminum ingot out of Xinjiang is not going to trigger a massive outflow of aluminium from the province. SMM’s conclusion is based largely on two...
AFL introduces aluminum coil bracket for splice enclosures
AFL introduces an aluminum coil bracket for splice enclosures including its Opti-Guard and SB01 products. The aluminum coil bracket is much lighter, making it easier to ship and install. Initially manufactured with steel which required palletizing and stacking for shipment, the new aluminum unit is 25 percent of the weight of the previous unit, making it easier to handle and install onto structures. The new bracket consists of three-pieces, is easy to assemble and ships in a box preventing damage to the unit. Furthermore, the bracket now includes banding slots added to the vertical body extrusion portion of the unit for more versatility in the attachment schemes to the structures. “We listened to our customers and engineered the aluminum coil bracket to help field technicians install...
Missouri recycler suspends metals collection due to low aluminum prices
Columbia, Missouri-based Civic Recycling stopped taking metal from the public last week, and will keep it on hold for at least until the week's close. The company buys nonferrous metals from the public, and mostly handles aluminum. Civic Recycling employees said the center’s temporary shutdown was a result of low aluminum prices. Matt Drahl, marketing manager for Didion Orf Recycling Inc., which buys Civic Recycling’s metals, said he didn't think the other suppliers to his firm had shut down due to market conditions. While changes in the market had affected Didon Orf Recycling’s profits somewhat, decreased prices had hurt smaller companies more, Drahl said. Tracey Sims, secretary and treasurer for Civic Recycling, said the center shut down to save money. The company expects the price of...
Nespresso wins award for packaging recycling project
Nespresso France has won Best Environmental Initiative in Trophées Défis RSE 2015 for supporting innovation in recycling technology and developing partnerships to improve the recycling of aluminium coffee capsules and other small-sized metal packages, Nestlé said on its website. Although aluminium is 100 per cent recyclable, only 32 per cent of household aluminium packaging is recycled in France. Due to packaging sorting centres not having suitable equipment, it is most often unable to process small packaging under seven centimetres. Nespresso co-founded CELAA, the Club for Aluminium and Steel Light Packaging (Club du Recyclage des Emballages Légers en Aluminium et Acier) in 2009. Its mission is to increase recycling capabilities for small-scale aluminium and steel packaging, such as...
Aluminium industry should get coal blocks to increase production: NALCO
Allocating coal blocks for the aluminium industry is the key to increase the indigenous production of the metal, said the National Aluminium Company (NALCO), a public sector unit. The price of aluminium is controlled by the London Metal Exchange. In India, the production of aluminium is solely dependent on coal energy. Therefore, procurement of coal is a major challenge for the industry. “Aluminium Industry, being a power intensive industry, requires a lot of power. Around 40% of the production cost of aluminium is power. Unless we get coal in a preferential way, we cannot compete with IPPs (Independent Power Producers). They are not treating this CPP (Captive Power Plants) on a different footing. So, it is not possible for us to beat them (IPPs) and get coal at aggressive prices and...
China primary Aluminium imports decline 71.98% y/y in May
China's primary aluminium imports declined by 71.98% from a year earlier to 6,738 tons in May, latest data from China's customs authority showed. Primary aluminium imports from January to May period this year totalled 46,723 tons, down 78.01% year-on-year. Exports of primary aluminium form China during the first 5 months of 2015 was around 19,531 tons, declined 64.32% from a year ago. In May alone, the country exported 618 tons, down 96.9% compared with the same month of last year.
Mining lease application (MLA) lodged for Urqu hart Bauxite Project
Metallica Minerals Limited and its Joint Venture partner, Ozore Resources Pty. Ltd. announces that the Mining Lease Application (“MLA”) for the Urqu hart Bauxite Project has been lodged with the Queensland Department of Mines and Natural Resources. The MLA 100044 comprising 1,378 hectares covers the Urquhart Bauxite Resource (Area A and Area B) announced to the ASX on 11 May 2015. The Joint Venture is undertaking an internal Conceptual Development Study and has also commenced environmental studies including the completion of a Wet Season Flora and Fauna Environmental Survey required as part of the Environmental Approval Process. Permitting, enviro nmental studies , Traditional Landowner meetings, technical evaluations and other work will continue into 2016, with the objective of achieving...
Asdion wins 4 million tonne bauxite supply deal to China
IT and logistics provider Asdion Bhd has won a RM414 million deal to supply four million dry tonnes of bauxite to China from July, more than Malaysia's entire bauxite exports last year. China is the world’s biggest producer of aluminium, which is extracted from bauxite. Asdion sealed the deal with the Hong Kong International Mining Exchange Ltd for the supply of bauxite to Hong Kong International Mining Exchange Ltd (HKIM), whose business is in the trading of commodities. Under the agreement, Asdion’s subsidiary TAZ Logistics Sdn Bhd will provide logistics-related services to HKIM for the delivery of a total of four million dry tonnes of bauxite at a base price of US$28 per dry tonne. Yesterday, Bloomberg reported that Australia had overtaken Malaysia as China’s top supplier of bauxite in...
Nalco inks JV pact with GACL for caustic soda plant
National Aluminium Company Ltd (Nalco), a navratna PSU under the Union mines ministry, has signed a joint venture (JV) cum shareholders’ agreement with Gujarat Alkalies and Chemicals Ltd (GACL) for setting up a caustic soda plant and captive power plant (CPP) at Dahej (Gujarat). The project is being taken up as a backward integration initiative of Nalco. The caustic soda plant would have a capacity of 270,000 tonne per annum whereas the CPP’s generation capacity is pegged at 100 Mw. The project is estimated to cost Rs 1,789 crore. Nalco would have 40 per cent stake in the project with the balance equity held by GACL. The JV agreement was signed last Tuesday by N R Mohanty, chairman cum managing director, Nalco and A M Tiwari, managing director, GACL. Senior officials of Nalco and GACL...
ESET confident about 30 per cent electricity rate cut in Jamaica
The head of the Electricity Sector Enterprise Team (ESET) says the slow progress in starting new energy projects in the bauxite sector will not affect the overall national programme to bring energy costs down. The expression of confidence came from Dr Vincent Lawrence during a press briefing at Jamaica House today. Jamalco has proposed a coal-fired co-generation facility at Halse Hall, Clarendon, supplying high steam to its refinery and 50 megawatts of power to the grid. Meanwhile, Alpart is to build a 140 megawatt gas turbine co-generation facility which will supply steam to the St Elizabeth-based refinery and power to the JPS grid. Lawrence has cited delays related to the change of ownership in Jamalco and contractual issues between UC Rusal and American Ethane. But he says this should...
Australia replaces Malaysia to become China’s top bauxite supplier in May
The market forecasts seem to be taking a real shape as Australia replaced Malaysia as the top supplier of bauxite to china in the month of May after falling behind from April. China being the largest aluminium producer in the world and not having any notable indigenous source for bauxite, imports a large volume of the mineral every year. In May, 2015, China bought 1.61 million metric tons of bauxite from Australia from 1.62 million tons a month earlier and 1.24 million tons in 2014. Shipments from Malaysia were 1.58 million tons in May, a fall of 23 percent from April. In January 2014, Indonesia imposed a heavy tax on export of raw minerals and halted shipments of raw ore including bauxite, nickel and copper, in a bid to encourage domestic processing of the mineral. Heavily dependent on...
Metal sector SEZ developers asked to set up downstream parks
Investors in metal sectors like steel, aluminium and ferroalloys with outlays exceeding Rs 1,000 crore need to establish downstream parks if they want to put up their projects in Special Economic Zones (SEZs). The SEZ policy recently released by the state government says the downstream parks have to be put up on an area of at least 200 acres. "For metal processing industries such a downstream park should be located adjoining the metal producing plant with arrangement for supply of molten metal. The basic infrastructure of downstream park such as road, power, water supply, drainage and other common utilities shall be provided by the SEZ developer", the policy says. The mineral based SEZs already approved would undertake to develop/promote related downstream industrial complex over a...
Altech Appoints Drytech as Kiln Supplier for its HPA Project
Altech Chemicals Limited announces that it has signed a Memorandum of Understanding (MOU) with leading kiln system supplier Drytech International (Drytech) for its high purity alumina (HPA) project. Drytech is a South African based company specialising in the manufacture of dryers and high temperature kilns for global processing plants. Drytech has developed a strong reputation in the local market and internationally for providing innovative design solutions to thermal processing projects, with robust and durable processing equipment. Drytech will supply the Company's kaolin dryer and calciner at its proposed Meckering beneficiation plant, and the aluminium chloride roaster and HPA calciner at its proposed Malaysian HPA plant. Drytech is the world's leading supplier of drying, calcining,...
Michael Parker named President Alcoa Refining and Australia Region
Alcoa today announced that Michael Parker will become President Alcoa Refining and Australia Region effective 25 September. He succeeds Alan Cransberg who will retire from Alcoa after 35 years of distinguished service. Parker will be responsible for Alcoa's refineries across the globe, including commercial and operational activities, as well as environment, health and safety and the Refining Centre of Excellence. Alcoa has refineries in Australia, Brazil, Spain, Suriname and the United States (US). Parker will also represent Alcoa in Australia to facilitate growth opportunities and coordinate government affairs, human resources, communications and associations. "Michael’s exemplary leadership capabilities and significant commercial expertise will help him continue to drive the success of...
