Nalco mulls reducing aluminium CoP by 9%

<p>The state-owned aluminium producer National Aluminium Company (Nalco) is aiming at paring down aluminium output cost by eight-nine per cent to increase long-term profitability in a changed business scenario. The company aims to do that by ramping up production through brownfield expansion and by switching to energy efficient technology. <br /><br />"Since the price of aluminium in the international market remains subdued and is likely to remain so for some time due to Chinese factor, we are working on a strategy to cut production cost and maintain profitability", said Nalco chairman cum managing director T K Chand.<br /><br /><img style="vertical-align: middle; display: block; margin-left: auto; margin-right: auto;" src="http://www.alcircle.com/uploads/images/Nalco(1).jpg" alt="News" width="600" height="400" /><br /><br />The two-pronged strategy is based on two things: one, Nalco plans to add a new potline based on the latest technology, at a site near to its current aluminium smelter complex at Angul in Odisha; and two, start a modernisation programme of its existing potline at the smelter. <br /><br />Nalco has already divulged its plan to come up with a new aluminium smelter of 0.4 million tonne per annum capacity and 500 Mw power complex at Angul at a total estimated cost of INR 14,000 crore. <br /><br />For the new potline, the company intends to use AP-Xe technology which would reduce electricity consumption in aluminium production by 700 kwh. Electricity serves as major cost component in aluminium smelting business. So to save on cost, it is essential that the producer starts adopting an energy efficient technology. <br /><br />Nalco is also in talks with Iranian smelters for projects related to toll smelting of its surplus alumina which is exported currently.&nbsp;</p>