Caustic soda plant setup in India: How aluminium growth is reshaping demand, costs and opportunities
Caustic soda may not be the most visible ingredient in aluminium production, but without it, the journey from bauxite to alumina would look very different. The chemical, also known as sodium hydroxide, is a crucial reagent in the Bayer process, where it helps dissolve alumina-bearing material in bauxite and separate it from impurities. The dissolved material is then processed to recover alumina, which ultimately feeds aluminium production. That makes caustic soda more than just another industrial chemical. Its availability, price and efficient use can influence the economics of alumina refining and, by extension, the wider aluminium value chain. As India expands its alumina and aluminium capacity, the requirement for this chemical is also becoming increasingly important. For companies...
Aluminum investment across North America and Asia: Who leads reshaping the next phase of growth?
Aluminum investment has been spreading across the entire value chain, from primary smelting and alumina refining to recycling, rolling, extrusion and battery foil, building more integrated and higher-value supply chains. During the past 5 years, the US and Canada in North America and China in Asia have been grabbing headlines pertaining to the aluminum industry. These updates have involved growth stories or have shed light on volatile market situations. How have these headlines contributed to a greater picture for the benefit of the aluminum industries of the two continents? Between 2021 and 2026, major projects across North America and Asia have targeted new primary capacity, lower-carbon production, recycled aluminum and higher-value downstream products. But the investment pattern is...
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Strong exports to support China aluminum consumption in 2015, SMM’s Wang says
Aluminum consumption will remain weak in China in 2015, but robust exports will support overall consumption, Shanghai Metals Market predicts. “Exports of Chinese aluminum semis are expected to be strong in 2015, as the SHFE/LME aluminum price ratio will favor outbound shipments,” said Wang, SMM’s aluminum analyst at 2014 SMM China Metals Summit in Shanghai. The growth of aluminum semis exports offset the decline in domestic end-users consumption during the second half of 2014, Wang noted at the summit in Shanghai. Operating rates across China’s aluminum semis industry, including extrusion, plate/sheet, strip and foil, wire & cable and aluminum alloy ingot, ranged between 60-70% in 2014, according to SMM data.
Aluminum regains hope on the reopening of closed plants
Even with the 23 percent growth rate of zinc production in the Gulf region, the temporary shutdown and closures of aluminum plant all over the world has highly affected the production rate of aluminum, sinking it down lower than the production rate submitted in January. Since the beginning of the year, 2012, the production of aluminum outside the China has fallen lower by 1.61 million tonnes, which occurred due to the collective closures of western aluminum miners due to the decline in the price of aluminum. Anyways the further chances of decline in aluminum production are slowly fading out. The motivation to cut back on the production is also declining. There is also news about the reopening of the European based smelter, the Adelel aluminum plant which is located in the Netherlands....
Manufacturers could increase profits with recyclable products according to poll: ISRI
On Black Friday, and throughout the shopping season, many holiday shoppers will be looking for – and be willing to pay more for – recyclable gifts. According to a recent survey conducted online in November among over 2,000 U.S. adults by Harris Poll on behalf of the Institute of Scrap Recycling Industries (ISRI), two-thirds (66%) of Americans say they look for information on whether or not the product is made from recycled materials when making a purchase. Furthermore, Americans would be willing to spend 13% more, on average, on a product if it was fully recyclable (i.e., all parts of the item could be recycled), and an average of 10% more for a product if they knew it was made of recycled materials. “The data shows that design for recycling not only benefits the environment and saves...
Norsk Hydro : Hydro Capital Markets Day 2014: Lifting performance, creating value in tight markets
Tight global aluminium markets are expected to continue, translating into higher all-in metal prices and stronger earnings for aluminium producers. Norwegian aluminium company Norsk Hydro ASA is focusing its Capital Markets Day 2014 on creating value in a tightening aluminium market through its aspiration to become better, bigger and greener. The aspiration spans the whole aluminium value chain, with strategic goals for each business area within the three categories. Hydro's main ambition is to increase shareholder returns through: • Better: Operational and commercial improvement drive • Bigger: High-grading and selective growth to improve relative industry position • Greener: Lower energy consumption and footprint to strengthen future competitive climate advantage The operational and...
AlCircle witnesses the inauguration of IBAAS 2014 at Vizag
The lamp lighting ceremony officially initiated the three-day conference of International Bauxite, Alumina & Aluminium Society (IBAAS) today which will continue till the 29th of November. Stalwarts from the upstream aluminium industry will meet at the event to discuss the scope of the industry and explore the investment options. Tom Albanese from Sesa Sterlite, Soma Mondal from Nalco, Niu Heng from Chalieco and Anupam Agnihotri from JNARDDC were all guests of honor and participated in the lamp lighting ceremony. IBAAS president, Vinod Sood and conference convener, Ashok Nandi welcomed the honorary guests initiating the official launch of the event. Nearly 200 delegates have come together for this event from countries like China, Australia, Belgium and other countries who are intimately...
Alcoa surges on Toyota's aluminum plans
Toyota along with Alcoa Inc "will use more aluminum instead of steel in the bodies of luxury automobiles starting in 2017 to reduce their weight, which translates to better mileage," according to Nikkei Asian Review. The report indicated that the "automaker will make the switch for the hoods, bumpers, doors and fenders of its Lexus vehicles when they are remodeled. It currently uses aluminum for the hoods and other parts of its Prius hybrid and some Lexus models." "Toyota plans to invest several billion yen to set up assembly lines exclusively for aluminum parts at a plant outside Nagoya and elsewhere. "The move is expected to shave up to 100kg from the weight of a vehicle. If a 1- to 1.5-ton gasoline-powered car is lightened by 100kg, its fuel efficiency is estimated to improve by about...
Hindalco: Novelis & increased production from new smelters may not sustain higher profitability
Hindalco is a stock that has remained popular with foreign investors, though metal prices continue to weaken globally. Over the past year, the stock has risen 40 per cent, compared with the 37 per cent rise in the Sensex. After the company's earnings beat estimates in the second quarter, many analysts have taken a positive stance on the stock, though availability of cheap coal from captive mines continues to be a key overhang for the new aluminium projects (Aditya, Mahan and Utkal). Will the stock continue to deliver in the future? Analysts have predicted Hindalco’s operating profit would double in three years, as the demand for aluminium body sheet in North America was set to quadruple. Novelis has a 50 per cent market share in this segment. Novelis has invested to change its product mix...
Kaiser Aluminium registered a high short interest at the market
Kaiser Aluminium is in a tight spot registering a high short interest at 17.59% of the floated shares. Each of its share is trading at $73.15 that is curiously 10.4% above the 53-week low and 10.4% lower that the 52-week high. However, there is good news in the near future as massive unwinding of the short positions could result in a swift price hike. The company posted a gain of 0.22% or 0.16 points. The shares opened at $72.86 and closed at $73.15, suffering some minor fluctuations throughout the day. The total volume of shares at the end of the day stood at 92,734. The company has put a market cap of $1,301 million with a total number of outstanding shares at 17,792,000. Considering the Kaiser’s 52-week high is $81.62 and the 52-week low is $65.56, the current performance of the...
Guyana: Linden bauxite workers on strike for more pay
Workers at the Chinese-owned BOSAI Minerals Limited bauxite plant at Linden on Tuesday continued to down tools and stayed off the job to press demands for higher salaries, according to well-placed sources. Preliminary information reaching Caribbean News Desk is that the company is offering a six percent hike in salaries, but the workers are demanding around seven to eight percent. There are also other grievances that the workers have bundled with their pay demand in the hope of having them addressed. Last year, workers were awarded a seven percent increase in salaries. Efforts to contact officials of the workers trade union, the National Association of Agricultural and Commercial Employees and BOSAI Minerals were not immediately successful. The strike began on Monday and was expected to...
Sapa’s design manual keeps lead
Sapa has updated and published the fifth edition of its aluminium extrusion Design Manual. While the paper version remains the most popular in the industry, interest in the new electronic “app” is growing. Since Sapa added its Design Manual in Apple’s app store and on Google Play in February 2014, nearly 1,300 users have followed up and downloaded the app. The company’s aim has been to develop a new channel to reach customers, architects, designers, engineers and the students who are eager to learn more about aluminium and aluminium profiles. The Design Manual also is available in a “light” version on Sapa’s extrusion-specific web sites. This version has proven popular as well, with 7,500 unique users recorded through the end of October. Sapa updates Design ManualThe app is accessible in...
Novelis CEO to present at Bank of America Merrill Lynch 2014 leveraged finance conference
Novelis Inc. President and Chief Executive Officer Phil Martens will present at the Bank of America Merrill Lynch 2014 Leveraged Finance Conference in Boca Raton, Florida on Wednesday, December 3, 2014 at 10:10 a.m. ET. Mr. Martens will give an overview of Novelis, discuss the company's strategy and future growth prospects as well as provide some financial highlights pertaining to its second quarter of fiscal 2015 results. The presentation will be webcast live at Novelis website, under Presentations and Events. The webcast will be archived and available at the same location approximately one hour after the conclusion of the live event.
CEC, Aluminium Council: call for end to RET crisis
In a joint statement, the CEC and the Australian Aluminium Council have called on the Australian Government and ALP to resolve the current Renewable Energy Target crisis. The joint statement urges both major political parties to come together to seek a resolution to the current impasse. The statement reads: “We believe that a negotiated outcome is critical, and indeed possible, by providing a full RET exemption for aluminium smelting while still providing a strong target that supports the future of renewable energy in Australia. “These two industries provide tens of thousands of jobs with massive flow-on benefits to local communities across the country. “Importantly, both major political parties are united in recognising the pressing need for aluminium smelting to be exempted from the...
Nalco Proposes a smelter plant worth 5 million tonne p.a
Union minister for steel and mining Narendra Singh Tomar chaired a meeting with heads of Central Public Sector Enterprises (CPSD) in New Delhi on Tuesday to review progress of proposals given by them at the Global Investors Summit held in Indore last month. Tomar emphasised on expediting progress of the projects and fixed phase-wise time-limits for them. He directed for another review in the next quarter. During the meeting the company chiefs informed about the progress of the last six months. The details of CPSE’s proposed projects are as follows: GOIL Company made proposal of around Rs 905 crore. Balaghat and Ukwa mines in Balaghat district are proposed to be expanded. The company also plans to establish a solar energy plant in the state. Sail is considering establishment of a one...
Innovations in pot tending at the Qatalum smelter
Qatalum’s vision to install and operate the world’s most advanced Pot Tending Machines (PTM’s) has resulted in the 14 units functioning with over 95% efficiency, directly contributing to increased safety and productivity. In the early 2000's, when Qatalum was still in its planning stage, equipment specified to operate the smelter would be cutting edge and capable of operating with minimal human contact. That vision has stood the test of time as Qatalum's investment in such advanced machinery is contributing to create one of the most advanced and efficient aluminium smelters in the world. Of particular note are the Pot Tending Machines (PTM's) that operate within the 2 pot-lines at Qatalum in which liquid aluminium is produced. Their purpose is to take care of the critical anode changing...
BHP demerger progressing very, very well : Graham Kerr
Graham Kerr, the CEO-elect for the proposed new company ( Newco) said in a press conference on Monday that the progress of the BHP demerger is going “very, very well.” They are now at a stage of seeking approvals from Australia, South Africa and other jurisdictions at the same time engaging with key stakeholder, employees and share holders, all of which is proceeding smoothly. In March, the documentations will be presented to the shareholders and the vote is supposed to be held in May, said Kerr. The yet to be named company, tentatively being called Newco for the time being, is going to be listed primarily in Australia with a secondary listing in South Africa. Kerr revealed that due to the high demand for their shares in the UK, a secondary inward listing will be initiated in UK as well....
Strict EU regulations imposing pressure on the aluminium producers
The Alunorf plant located in Germany’s Neuss city has a production line that the workers fondly call “the grill” and around this plant, several other smelters operate making the area one of Europe’s industrial clusters firing up to 960C, proving that the aluminium industry is a power guzzler. However, the stringent environmental regulations adapted by the European Union are threatening to strangle the aluminium industry. 11 out of 24 smelters in the EU regions have shut down since 2007 as energy costs are becoming exorbitant as a result of the regulations. Since 2007, Europe’s aluminium production has slumped by 40% especially since giants like Alcoa and Rio Tinto Alcan have shut down some major projects. The industries are instead moving to developing countries with more lax...
Key Aluminium issues to be probed at Arabal 2014
More than 600 key decision-makers in the global aluminium industry are expected to convene at the 18th Arab International Aluminium Conference (Arabal 2014), which gets underway today. Hosted and organised by Alba, the three-day event is being held at the Gulf Hotel's Gulf Convention Centre, under the patronage of His Royal Highness Prime Minister Prince Khalifa bin Salman Al Khalifa. Day one starts with a workshop on 'Hedging your aluminium risk on the London Metal Exchange', followed by a field trip to the Alba smelter. The Arabal exhibition is expected to be inaugurated by HRH the Premier on day two of the conference. Among those delivering speeches at the conference will be Emirates Global Aluminium's (EGA) managing director and chief executive Abdulla Kalban, senior vice-president...
BHP Billiton sells its Bayside casthouse to Isizinda Aluminium
BHP Billiton, in the process of exiting the aluminium business, has sold of its Bayside casthouse to Isizinda Aluminium ahead of its demerger planned in 2015. Isizinda Aluminium is owned by two bodies in a 60-40 partnership. Bingelela Capitals, which is a KwaZulu-Natal broad-based black economic empowerment (BBBEE) vehicle, hold 60% of the stakes while Pietermaritzburg-based aluminium producer Hulamin holds the other 40. The BHP Billion Hillside smelter will be supplying liquid aluminium to the casthouse and from there it will be sold to Hulamin. This is BHP’s first endeavor of selling liquid aluminium according to Graham Kerr, CEO-elect of BHP's proposed demerged vehicle. "Not only will it secure our rolling slab supply from Bayside for the next five years and beyond but it will also see...
