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 Govt backs L&T for bauxite mining lease in Rayagada
With Larsen & Toubro (L&T) agreeing to set up a three million tonne aluminum refinery in two phases of 1.5 million tonne each at Rayagada, the Odisha government today recommended to the Centre the grant of Mining Lease (ML) for Sijurumali and Kuturumali bauxite mines to the company putting an end to the long-drawn speculation on the issue. L&T will go for construction of the refinery with a rated capacity of 1.5 million tonne in the first phase at an investment of around Rs 12,000 crore, sources close to the development said. The state government has, however, put a condition that the company cannot use bauxite mined from these two mines elsewhere. What in effect means is that despite having a joint venture with Vedanta, L&T cannot allow Vedanta to use bauxite extracted from the two...
AB InBev brings out rum-flavoured beer in cans for on-trade
Rum-flavoured beer Cubanisto has been launched in a sleek can to capitalise on the rise of canned beers in the on-trade. Introduced last year by AB InBev in 330ml bottles, it is now also available in 330ml cans which are lighter, more durable and chill faster than the glass counterpart. With a premium design featuring the brand’s striking logo, it is aimed at increasing stand-out in the fridge. AB InBev says the canned format opens up more opportunities such as outdoor bars, festivals and nightclubs where glass bottles are not always accepted. The aluminium vessel also helps reduce exposure to both oxygen and light – two of the biggest problems for stocking beer and cider. Sunny Bhurji, head of trade marketing at AB InBev, said: “Cubanisto’s new packaging format allows us to enter a new...
2016 Mercedes-Benz E-Class spotted testing
The next-generation Mercedes-Benz E-Class saloon has been spotted testing ahead of a planned debut at the Detroit motor show in January next year. The new-generation model, codenamed W213, adopts Mercedes' modular MRA platform, as used by the latest C-Class and S-Class models. Insiders confirm the new E-Class will once again grow in size, to about 4950mm long and 1940mm wide. An estate, offering a similar 695-litre luggage capacity to its predecessor, is due to go on sale towards the end of 2016. The increased use of high-strength steel and aluminium is claimed to make both versions up to 100kg lighter than today's. Stylistically, the new E-Class follows the latest C-Class, the GLA, and the S-Class coupé. As on other recent models, Mercedes plans two distinct front-end treatments: a...
Nordic Council recommends release limits for metal and alloy in FCMs
The Nordic Council of Ministers (Norden) has published a guidance document on metals and alloys, used in food contact materials. Norden recommends that industry and authorities apply the specific release limits, recommended by the Council of Europe, for 23 metals typically used in FCMs or found as impurities, including aluminium, nickel, silver and zinc. The guidance also runs through relevant legislation and risk assessment principles. The guidance is to help industry comply with food contact legislation, and serve as a tool for food inspection authorities, according to Norden. Since there is no EU legislation setting release limits for metals and alloys in FCMs, Nordic hopes the report "creates a call for uniform guidance" across Denmark, Finland, Iceland, Norway and Sweden.
AGL's new gas storage facility to benefit Tomago Aluminium smelter
Energy company AGL says its new gas storage facility near Newcastle has given the Hunter region much needed security of supply. AGL managing director Andy Vesey has today officially opened the $310 million Newcastle Gas Storage plant at Tomago. The storage facility will secure supply for industrial customers, such as the neighbouring Tomago Aluminium smelter, as well as homes across the Hunter region and beyond. It could eventually be linked to the company's controversial Gloucester coal seam gas site to the north. When asked about the Nationals' calls for a 'gas-free' Northern Rivers region in the north of New South Wales, Mr Vesey said he was hopeful decisions will be made based on the science behind the industry. "We know this is an emotional issue and we're very attentive to all the...
Hind Aluminium Industries Ltd reduces stake in Oman subsidiary
Hind Aluminium Industries Ltd has introduced an overseas Joint venture partner for its subsidiary Company Associated Industries Limited SFZ ("AIL SFZ"), incorporated in the Sultanate of Oman. Due to the above, AlL SFZ will become an Associate / Joint Venture Company of Hind, with a reduced shareholding of 32.50%. Shares of HIND ALUMINIUM INDUSTRIES LTD. was last trading in BSE at INR 57.9 as compared to the previous close of INR 58.9. The total number of shares traded during the day was 1487 in over 17 trades. The stock hit an intraday high of INR 61 and intraday low of 56.9. The net turnover during the day was INR 85207.
USW to vote on Century Aluminum latest contract to end deadlock at Hawesville operations
The union members belonging to United Steelworkers will vote today on the tentative agreement put forward by the company as a solution to end the one-month long lockout at Century Aluminum’s Hawesville, Kentucky smelter. If ratified by the union, workers are expected to return to work on Monday. A tentative five-year deal was reached between USW Local 9423 and the company management after a series of negotiations in the presence of a federal mediator. According to company spokesperson, the new deal offers 2.75% raise in wages over four years. In addition, craft will be given an additional $1.50 base wage hike. Informal meetings and voting will be held at the Lewisport Community Centre. The first meeting is scheduled at 9 AM, followed by a second one at 5 PM. The result of the vote would...
Coca Cola-KAB Recycling Bin Grant Program provides awards more recycling bins
The Coca Cola-Keep America Beautiful Recycling Bin Grant Program has awarded additional 5,300 recycling bins to promote convenient recycling among communities. The new bins allotted through the grant will serve communities in 41 states across the country. The Bin Grant Program will provide 3,662 recycling bins to colleges and universities. Additionally, 1638 bins will be awarded to local governments and non-profit organizations. According to the Coca-Cola Foundation, 66% of the granted bins will be placed permanently in public places such as athletic fields, K-12 schools, fairs and festivals, special events and parks, aimed at increasing accessibility of recycling bins to general public. The remaining 44% of the bins will be places in college residence halls to boost recycling among...
Qatalum receives Hydro president and CEO Svein Richard Brandtzæg
Hydro President and CEO Svein Richard Brandtzæg together with Vice Chairperson to the Qatalum Board, Hilde Merete Aasheim, Executive Vice President, Primary Metal at Hydro toured the Qatalum smelter on the 4th of June. Following a 3 year retrospective ‘Administration’ presentation from management, they were accompanied through all the operational areas by the CEO, DCEO and COO. The operation areas conducted their own presentations and hosted a brief tour of their premises. Of particular interest to the Hydro CEO was the Relining Facility. He was impressed to see that it was built on time and under budget. Its scale was impressive but ultimately what impressed was that the relining team were now surpassing the turnaround of pots faster than the business plan. This has a direct impact on...
Russia's Rusal, consumers propose import tax on aluminium products
Russian aluminium maker Rusal and several of its domestic consumers have proposed a tax on imports of products containing aluminium, such as wheel disks, Vedomosti newspaper reported on Thursday. Rusal, along with a number of state firms including defence conglomerate Rostec, United Aircraft Corp and United Shipbuilding Corp, and a subsidiary of U.S. Alcoa which owns one plant in Russia, made the proposal to the government at an Industry Ministry meeting this week, the paper said. The companies also announced the creation of an association which will focus on increasing aluminium consumption in Russia and decreasing the use of imports, Vedomosti reported, citing Roman Andryushin, Rusal's sales chief in Russia. Participants at the meeting proposed an import duty of between 20 and 30...
China alumina prices drop on growing supply as production costs fall
Prices of alumina in China have fallen more than 10 percent since January and are unlikely to recover this year as lower production costs encourage refineries to boost output, industry sources in the country said. Refiners usually sell alumina to aluminium smelters as it is the key ingredient in the production of that metal, which is used in everything from cars to cooking utensils. Weaker prices for the raw material could boost aluminium output in the world's top consumer and producer of the metal, curbing demand for imports. Alumina typically accounts for around 40 percent of costs in primary aluminium production. Spot alumina traded at about 2,350 yuan to 2,550 yuan ($379 to $411) a tonne in China this week, compared to around 2,800 yuan in January, smelter sources said. The prices...
Noranda and Government of Jamaica reach interim agreement; GOJ agrees to discontinue injunction proceedings
Noranda Aluminum Holding Corporation announced today that its wholly-owned subsidiary Noranda Bauxite Limited (NBL) has reached an interim agreement with the Government of Jamaica (the GOJ) relating to a dispute regarding production levies. The interim agreement addresses payments of production levies pending the conclusion of arbitration related to those levies, and will be in effect until the earlier of December 31, 2015 or the date on which an arbitration award is delivered. Under the terms of the interim agreement, the GOJ has agreed to stay or discontinue its May 28, 2015 application for an interim injunction restraining NBL's export of bauxite from Jamaica. NBL has agreed to provide interim levies to the GOJ in the form of cash and irrevocable letters of credit. NBL and the GOJ have...
Aluminium market rises on short covering, open interest drops 2.94%
Aluminium settled up 0.09% at 110.85 gave up it's earier gains after U.S. aluminum premiums have fallen to their Lowest in more than three years as imports and scrap suppLies remain high and merchants unwind Long positions, extending an unprecedented, months-Long rout. The premiums that fabricators and merchants pay on top of benchmark London Metal Exchange prices for delivery in the U.S. Midwest have dropped to 8-9 cents per [b from 9-10 cents last week and 13-14 cents a month ago. Those are the lowest prices since early 2012. While LME aluminum rose to USD 1,768/mt after opening at USD 1,748/mt on Tuesday. But the light metal fell back later to end the day at USD 1,749.5/mt. On the macro front, disappointing Chinese CPI data strengthened hopes for more stimulus measures. The euro zone’s...
Next generation Audi A4 to debut soon featuring revamped aluminium architecture
Just a few days after new next-generation Audi A4 Avant spy shots emerged, it has been confirmed that the new A4 will debut online on June 29. Interestingly, both the sedan and Avant body styles will be revealed at the same time. The new A4 is expected to ride on an updated version of Audi’s MLB platform called MLB Evo. This revamped vehicle architecture uses a combination of high-strength steel and aluminium, along with some composite materials, to ensure it is both stronger and lighter than the platform it replaces. The model is expected to weigh at least 100 kg less than the current A4, largely thanks to its new MLB underpinnings. Engine wise, it is suggested that a 1.4-litre TFSI engine will be offered in 125 hp, 150 hp and 180 hp specifications. Elsewhere, the 2.0-litre TFSI will be...
International research project investigating effects of gravity on aluminium-based alloy solidification
The European Space Agency (ESA) has chosen a UCD researcher to spearhead the XRMON project, a multidisciplinary, international collaboration investigating the effects of gravity on aluminium-based alloy solidification using real-time, in-situ X-radiography. In addition, the university has been chosen as the lead partner in the next phase of the research, which involves carrying out an experiment in which an aluminium alloy will be solidified in zero gravity on a sounding rocket flight – a rocket carrying instruments designed to take measurements and perform scientific experiments. This is a first both for Ireland and UCD, as it is the first time an Irish scientific team has led such a project, which is funded under the ESA's Microgravity Applications Promotion (MAP) programme. Dr David...
Taiwan aluminum entrepreneurs become billionaire couple amid China stock rally
Huang Chung-Sheng, the chairman of Yechiu Metal Recycling (China), and wife have become a billionaire couple from a run-up in the stock price of their Shanghai-listed recycled aluminum company. Huang and Lin Sheng Chih own 47% of Yechiu Metal Recycling, a stake worth $1.1 billion at Wednesday’s closing price of 23.13 yuan. That estimate includes dividends and share disposals. The Taiwan entrepreneurs are among more than 100 new billionaires and billionaire families to arise from a China stock rally that has more than doubled overall prices in the past year but stirred concern of a huge bubble. Yechiu’s shares have increased by more than 200% in the past 12 months. Huang founded a smelting business in Malaysia in the 1980s before expanding into China. Xiang Guangming, chairman of China’s...
China aluminum alloy wheel exports grew 2.4% in Apr. 2015
China exported 67,500 tonnes of aluminum alloy wheels in April 2015, valued at $341 million, up 2.4% and 3.3%, respectively, from a year ago, data from the China Association of Automobile manufacturers (CAAM) showed. The average export price was $5.04/kg in April. Export volumes and value totaled 255,700 tonnes and $1.29 billion, respectively, during the first four months of the year, up 4.8% and 5.9%, year-on-year.
Management and union reach possible agreement at Century Aluminium; work likely to resume
A tentative agreement at an aluminum smelting plant has been reached, potentially ending a work stoppage affecting roughly 560 employees at the Century Aluminum facility in western Kentucky. The Gleaner reports Allison Beck, acting director of the Federal Mediation and Conciliation Service, announced Tuesday that a tentative settlement has been reached in Hawesville between United Steelworkers Local 9423 and Century Aluminum. A previous labor contract expired in April and was followed by contentious negotiations and a work stoppage in May. The latest tentative agreement is subject to ratification by union membership. According to a statement from the union, informational meetings will be held Thursday at the Lewisport Community Center. Voting will take place after each meeting. Before the...
