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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Hindalco’s Q4 profit declines 36% to INR 159.53 crore
Aditya Birla Group’s flagship company Hindalco Industries Ltd on Thursday reported a 35.7% decline in its stand-alone net profit for the March quarter, thanks to higher power and fuel, and finance costs, and weaker prices in the international markets . Net profit was at INR.159.53 crore as compared with INR.248.15 crore a year ago. Net sales for the quarter rose 11.1% from a year ago to INR.9,371.55 crore. The Bloomberg poll of 21 analysts had expected the company to post a net profit of INR.284 crore on a net sales of INR.8,304.5 crore. Power and fuel expenses rose 54.87% year-on-year to INR.1,425.72 crore while finance costs rose 117.3% to INR.466.34 crore. “Profit is lower given the lower realization, higher depreciation and interest arising out of capitalization of the assets at Mahan...
Orbite eligible for additional investment tax credits
Orbite Aluminae Inc. today announced that the Company has determined it is eligible to receive refundable investment tax credits (ITCs) on its investments in the Gaspe region incurred during 2015, 2016 and 2017. ITCs receivable were limited to a maximum of $30 million, which Orbite had reached for the years 2012 through 2014. However, this ceiling applies to three year intervals and a new three-year interval began on January 1st, 2015. According to Quebec tax regulations, companies making investments in manufacturing and processing equipment in the Gaspe region are eligible for a 32% return in the form of refundable ITCs. The Company has received confirmation from its tax consultants that it should be eligible to receive up to $7.5 million in tax credit refunds for fiscal 2015. As it has...
Sapa to close Perfialsa plant in Spain
Sapa has announced its intention to close operations at its aluminium extrusion plant in Arteixo, Spain. The company has announced the decision to the workers' committee at the Perfialsa plant in order to begin the negotiation process, and has conveyed its willingness to propose an extensive social plan for the affected employees. The decision potentially affects all the 70 employees at the plant. Sapa Extrusion Perfialsa has been negatively affected by the weak aluminium extrusion market in Spain, where consumption dropped more than 60 percent between 2007 and 2013. After several years of losses, there was no other option than to close the plant. “We appreciate all the efforts that our employees in Perfialsa have made together with the company these past four years to improve the...
Aluminum Association updates on downstream market situation in North America
Estimated shipments of Aluminum Drawing Stock, Bare Wire and Rod & Bar by U.S. and Canadian producers totaled 105.0 million pounds during April 2015, unchanged from April 2014. Compared to the previous month, shipments declined 2.6 percent from the March 2015 revised total of 107.8 million pounds. Year-to-date shipments through April 2015 totaled 419.0 million pounds, up 1.2 percent over the 2014 year-to-date total of 413.9 million pounds. Preliminary estimates indicate that aluminum demand in the United States and Canada (shipments by domestic producers plus imports) totaled an estimated 6,426 million pounds during the first quarter of 2015, up 3.1 percent over the first quarter last year. Demand for semi-fabricated (mill) products totaled 4,506 million pounds, up 11.7 percent. Apparent...
Oversupply drags down aluminium prices by 9.7 percent in May
Analysts fear another slump in aluminium as the metal price falls by 9.7 percent in May making it the biggest monthly drop since October 2012. For 10 straight sessions aluminium has seen a continuous drop – the longest slump since January and oversupply looks like the reason for the slide. China, already known for pumping more metal into the system than required, is being further bolstered by cheap coal prices. More metal is being produced and this excess aluminium is likely to leak into the wider aluminium market outside China as well, according to a Citigroup analyst. A stronger US dollar is also helping the Chinese economy as the cost of production calculated in local currency is being replenished through revenues earned in dollars. Aluminium for delivery in three months dropped 0.8...
Australian Bauxite Ltd discovers high grade bauxite at New Portside Production Centre
Australian Bauxite Limited has started its first bauxite mine in Tasmania and holds the core of the Eastern Australian Bauxite Province. ABx's 37 bauxite tenements in Queensland, New South Wales & Tasmania exceed 5,000 km2 and were selected for good quality bauxite, good infrastructure as they are well connected to export ports and as they are free of socio-environmental constraints. All tenements are 100% owned, unencumbered & free of third-party royalties. ABx's discovery rate is increasing as knowledge, technology & expertise grows. The Company's bauxite is high quality gibbsite tri-hydrate (THA) bauxite & can be processed into alumina at low temperature - the type in short supply globally. Australian Bauxite Limited (ABx) has received high grade results from drill hole samples into...
Hope Construction Materials invests of 1 million GBP for aluminium transportation wagons
Britain’s leading independent supplier of construction materials, Hope Construction Materials, has announced a major investment in rail transportation from its flagship Derbyshire cement operation. Hope, who supply cement to customers across the UK, is investing over £1 million in the manufacture and long-term lease of 48 tailor-made rail wagons for the distribution of cement from its headquarters. In keeping with the firm’s ongoing commitment to improving sustainability, the wagons will be built from aluminium, reducing weight and with it, fuel consumption and carbon emissions. The wagons will also be quieter than other models, utilising track-friendly bogeys which allow the wheels to turn around bends more easily. Ashley Bryan, Industrial Director of Hope Construction Materials, said:...
Maan Aluminium standalone net profit declines 41.67% in the March 2015 quarter
Sales rise 34.23% to INR 37.25 crore Net profit of Maan Aluminium declined 41.67% to INR 0.07 crore in the quarter ended March 2015 as against INR 0.12 crore during the previous quarter ended March 2014. Sales rose 34.23% to INR 37.25 crore in the quarter ended March 2015 as against INR 27.75 crore during the previous quarter ended March 2014. For the full year,net profit declined 33.33% to INR 0.28 crore in the year ended March 2015 as against INR 0.42 crore during the previous year ended March 2014. Sales rose 7.38% to INR 109.87 crore in the year ended March 2015 as against INR 102.32 crore during the previous year ended March 2014.
Ess Dee Aluminium standalone net profit declines 44.66% in the March 2015 quarter
Sales rise 16.03% to INR 172.96 crore Net profit of Ess Dee Aluminium declined 44.66% to INR 5.60 crore in the quarter ended March 2015 as against INR 10.12 crore during the previous quarter ended March 2014. Sales rose 16.03% to INR 172.96 crore in the quarter ended March 2015 as against INR 149.07 crore during the previous quarter ended March 2014. For the full year,net profit declined 39.51% to INR 30.38 crore in the year ended March 2015 as against INR 50.22 crore during the previous year ended March 2014. Sales rose 15.75% to INR 768.62 crore in the year ended March 2015 as against INR 664.06 crore during the previous year ended March 2014.
The Aluminum Association joins as exclusive partner to ALUMINUM USA Trade Show
The new ALUMINUM USA trade show has gained a strong partner by bringing on board the Aluminum Association, the leading voice of the North American aluminum industry, as the event’s exclusive partner. The Aluminum Association will contribute concepts and ideas to the November 11-12, 2015 show in Detroit, Michigan. The mere announcement by trade show organizer Reed Exhibitions that it would launch ALUMINUM USA generated enormous interest in the aluminum industry. Numerous international companies have already registered to participate in the show. “The North American aluminum industry is in a period of transformative growth and so the time is right for a centrally located trade show like ALUMINUM USA,” said Heidi Brock, President and CEO of the Aluminum Association. “We’re excited to be...
Study shows around £360 million of metals could be mined from just four landfill sites
A study undertaken by Cranfield University has found there are huge deposits of valuable metals in landfill sites. Scientists analysed samples from up to 30 metres deep from four different landfill sites. After removing large objects, the samples were analysed for the content of rare earth metals and other valuable metals. Around £5 million worth of the rare earth metal neodymium is estimated to be in just the four landfill sites, while £92 million of palladium is expected to be buried in the sampled sites. The combined value of copper and aluminium in the four landfill sites is estimated to be worth £260 million. Cranfield University scientists Dr Stuart Wagland and Dr Frédéric Coulon worked on the study. Stuart Wagland said: “There is clearly potential value in our landfills,...
Aluminum cans: Most recycled and highest value beverage container on US market
Aluminum cans are the most recycled and highest value beverage container on the market today, according to a new report released by the Aluminum Association and Can Manufacturers Institute (CMI). The aluminum can has the highest recycling rate of any beverage container and contains 70 percent recycled content on average – more than three times the recycled content of glass or plastic (PET) bottles. The study also found that aluminum can recycled material is worth nearly 300 percent more per ton than plastic or glass. “This new report confirms that aluminum cans are recycled by U.S. consumers at rates more than 20 points higher than that of other beverage containers, making them the sustainable package of choice,” commented Heidi Brock, President and CEO of the Aluminum Association. “Cans...
Qatalum fosters growing aluminium knowledge base through education
And open new horizons regarding the technological opportunities and innovative solutions in aluminium for Qatar University students. Several opportunities have arisen whereby students from the Center for Advanced Materials (CAM) at QU and other departments supported engage in performing various levels of advanced research with regard to aluminium production. One of them is the ‘Aluminium Competence Project’, where students and faculty are engaged in research that embraces the whole value-chain, including recycling. Read more about the initiatives undertaken by Qatalum, Hydro and the University, in Dr. Bensalah article published in the Qatar University Research Magazine April 2015.
Norsk Hydro ups aluminium output by 35,000 tonnes per year
Norwegian metals producer Norsk Hydro has decided to go ahead with a previously planned increase of aluminium output at its Sunndal plant by 35,000 tonnes per year, starting in the middle of 2015, the company said on Wednesday. The increase is due to "recent market developments for aluminium", Hydro added.
Alba Management and Alba Labour Union reach an agreement on the allowance
Aluminium Bahrain B.S.C . ( Alba ) Management and Alba Labour Union announced that they reached an agreement on the BD 20 allowance, which will be submitted to the Alba Board for approval on June 10, 2015. As part of the agreement, it was decided that the BD 20 allowance will be granted for year 2015 consistent with prior practice. It was also agreed to develop joint recommendations over the next 6 months to help the company manage cost challenges facing the aluminiumindustry. Commenting on the agreement, Alba 's Chairman of Board of Directors, Shaikh Daij Bin Salman Al Khalifa stated: "We are pleased to find common ground with the Alba Labour Union on this subject. We look forward to working with the Union and developing ideas that will sustain Alba for future generations."
Aluminium prices rise by 0.36% in futures trade on overseas uptrend
Aluminium prices today rose 0.36 per cent to INR110.55 per kg in futures trade as speculators enlarged positions amid a rising trend overseas. Furthermore, increased demand at domestic spot markets influenced prices. At the Multi Commodity Exchange, aluminium for delivery in May rose 40 paise, or 0.36 per cent, to INR110.55 per kg in business turnover of 109 lots. Similarly, the metal for delivery in June traded higher by 35 paise, or 0.31 per cent, to INR112.25 per kg in 24 lots. Analysts said the rise in aluminium prices in futures trade was mostly attributed to a firming trend in the base metal pack at the London Metal Exchange (LME) as better- than-expected US new home sales and gains in Chinese industrial profits boosted the outlook for demand in the world's biggest metals consumers.
Hindalco Q4 profit seen up 18% at INR 293 cr
Aluminium major Hindalco Industries's fourth quarter profit may rise 18 percent year-on-year to INR 293 crore, according to a CNBC-TV18 poll. The company will announce its earnings on May 28. Aluminium major Hindalco Industries 's fourth quarter profit may rise 18 percent year-on-year to INR 293 crore, according to a CNBC-TV18 poll. The company will announce its earnings on May 28. In Q4FY14, the company had a tax credit of INR 46 crore, and exceptional loss of INR 396 crore (related to a liability of INR 324 crore under The UP Tax on Entry of Goods into Local Areas Act, 2007 and liability of INR 72 crore under The Madhya Pradesh Gramin Avsanrachna Tatha Sarak Vikas Adhiniyam). Total turnover for the quarter is seen declining 1 percent to INR 8,320 crore compared to INR 8,434.2 crore in...
Odisha proposes bauxite mines lease for L&T
Ending years of uncertainty, the Odisha government has recommended to the Centre for allotment of two bauxite deposits, Kutrumali and Sijimali in south Odisha, to engineering & construction giant Larsen & Toubro (L&T). L&T held the prospecting licence (PL) for these deposits for last two decades. But the state was unwilling to recommend its case for grant of mining lease (ML) as the company did not have any end use plant in the state. "The state government has recommended L&T's case to the Union mines ministry for award of ML over the two bauxite deposits. Since L&T holds a PL, it is eligible to get the ML under the amended Mines and Minerals - (Development & Regulation) Act, 2015," said an official with direct knowledge of the matter. R K Sharma, principal secretary (steel & mines),...
