South32 expects the sale of its aluminium value chain assets to Alcoa to be completed in the six months ending June 2027. The proposed transaction covers its aluminium operations and related bauxite and alumina assets in South Africa, Australia and Brazil. The sale follows a binding conditional agreement signed by the two companies, under which Alcoa agreed to acquire the assets for up to USD 5.6 billion . The assets include South32's Hillside Aluminium smelter and the idled Bayside smelter in South Africa, its interests in the Boddington bauxite mine and Worsley alumina refinery in Australia, and the Mineração Rio do Norte bauxite mine and Alumar alumina refinery and aluminium smelter in Brazil. Explore the production, demand and consumption forecasts of bauxite and alumina in our...
LME aluminium cash prices recorded an increase on November 5, 2026, with the cash offer price rising by 0.80 per cent day on day to USD 3,160 per tonne from USD 3,135 per tonne on November 4. On November 5, the LME aluminium cash bid price stood at USD 3,158 per tonne, up by 0.75 per cent from USD 3,134.5 per tonne recorded on November 4. The cash offer price increased by USD 25 per tonne. Similarly, LME aluminium 3-month prices moved higher. The 3-month bid price rose by 0.78 per cent to USD 3,097 per tonne on November 5 from USD 3,073 per tonne on November 4. The 3-month offer price increased by 0.76 per cent to USD 3,097.5 per tonne from USD 3,074 per tonne. For December 27 contracts, the bid price advanced by 0.33 per cent to USD 2,997 per tonne on November 5 from USD 2,987 per tonne...
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Norsk Hydro reports positive 2nd quarter 2017 results driven by higher realized all-in metal and favourable currency developments that was slightly offset by higher raw material costs and lower realized alumina prices. Hydro reports underlying EBITD of to NOK 2,930 million in comparison to NOK 2,284 million in the 1st quarter 2017. Commenting on the results, Hydro President & CEO, Svein Richard Brandtzæg says: "Higher aluminium prices in the quarter are lifting results, and I am pleased to see Sapa delivering record results, continuing the strong trend." "Hydro will confirm its position as the world's leading integrated aluminium company with the agreement to acquire Orkla's 50 percent interest in world-leading extrusion company Sapa. The transaction reinforces our strategic direction to...
The recent volatility in LME aluminium prices seems to be extending further. The light metal contract which edged marginally higher at US$1,901 per tonne on Friday, July 21, fell again to US$1,890 per tonne on Monday, July 24. The drop in aluminium prices can also be partly attributed to the US dollar index that is regaining strength from its last week’s lows. Reuters’ technical analysis suggests that LME aluminium may rise into US$1,929-1,936 per tonne range in the short term. There is a support at US$1,913 per tonne, a break below which could a loss to US$1,898 per tonne. According to Shanghai Metals Market forecast, LME aluminium will hover in the range of US$1,905-1,925 per tonne on Tuesday, July 25, as resistance is intensifying. As on July 24, LME official cash buyer aluminium price...
Rio’s subsidiary Tomago Aluminium smelter in New South Wales has been struggling with uncertain power supply and higher power rate issues for years now. Tomago, which is co-owned by Rio and has CSR subsidiary Gove Aluminium Finance consumes 12 per cent of the state’s electricity. It employs 1150 people and produces about 550,000 tonnes of aluminium a year. The smelter is currently facing production cut threat as a result of increasing wholesale electricity prices. Rio-controlled Boyne Island smelter in Gladstone has also reported the same concern sometimes back. Rio Tinto blames the strong market power of east coast electricity generators for irregular price hike. They, according to the company spokesperson are exercising their power to deliberately drive up prices. The company has urged...
The implementation of the Goods and Service Tax (GST) regime has resulted in the decrease of effective coal prices by 2-3 per cent for aluminium producers in India. The new tax structure has subsumed several additional taxes making power a little cheaper for the domestic players in the energy-intensive aluminium sector. Under the new regime, coal attracts 5 per cent tax compared to the earlier 12 per cent tax. Prevailing environmental taxes, local taxes and a number of other charges have effectively brought down the effective tax rate by 2-3 per cent, instead of 7 per cent. "In effect, the effective tax rate on coal has reduced by 2-3 per cent, which is also considerable given the volumes the coal consumers purchase," said an official at the Coal Consumers Association. Aluminium is an...
The prices of A00 Aluminium Ingot inched higher across major China markets though there was no fresh news of domestic aluminium output cut after Xinjiang and Shandong. The demand for the metal is estimated to drop in the fourth quarter of the current financial year, when focus will be primarily on production control during winter heating season. Prior to that primary aluminium prices are expected to range widely in the Chinese domestic market. As on Monday, July 24, the average price of A00 Aluminium Ingot (South China) stood at RMB 14,235 per tonne, the highest among the six market prices. The price rose by 0.04 per cent from its earlier close of RMB 14,230 on July 21. In terms of the percentage rise, A00 Aluminium Ingot (East China- Zhejiang)) registered the highest jump on July 24. The...
LME aluminium ended last week marginally above US$1,900 per tonne. Rising by 0.15 per cent from its earlier close of US$1,898 per tonne, the light metal settled at US$1,901 per tonne on Friday, July 21. With no further news of aluminium output cut in China, LME aluminium is expected to hold ground at US$1,910-1,930 per tonne range on Monday, July 24, Shanghai Metals Market said. As on July 21, LME official cash buyer aluminium price (Bid Price) stands at US$1,900.50 per tonne, cash seller & settlement aluminium price (Offer price) is US$1,901 per tonne, 3M Bid Price is US$1,925.50 per tonne, 3M Offer Price is US$1,926 per tonne, Dec1 Bid Price is US$1,968 per tonne, and Dec1 Offer Price is US$1,973 per tonne. The current LME official Opening Stock of aluminium is estimated at 1354550...
According to the data showed by the International Aluminium Institute (IAI), the daily average primary aluminium production excluding China increased in June against May. The primary aluminium production stood at 70,300 tonnes in June as compared to 70,000 tonnes in May. In China, the daily average aluminium production increase to 97,700 tonnes in June from 91,100 tonnes in May. On a monthly basis, the global primary aluminium production, outside China, was 2.11 million tonnes in June, down from 2.17 million tonnes in May. In China, the primary aluminium production jumped 7.4 year-on-year to 2.93 million tonnes in June. The country produced 2.83 million tonnes of aluminium in May, up 4.2 per cent year-on-year.
The first six months of 2017 are just over and aluminium has emerged as the best performing industrial metal of 2017 so far by gaining close to 15% in the first quarter itself. It has much outpaced base metals like zinc and copper after posting a 12.43% growth in 2016. Aluminium was the second worst performing base metal in 2016 which jumped up to be the best performing one in Q2 2017. Throwback Since the financial crisis in 2008-2009, the aluminium market has been inflicted with a supply glut. However, after hitting rock bottom prices, LME aluminium started gaining in the second half of 2016. The growth in in 2016 was driven by quick falling supply in China with the closure of capacity around August/September and demand growth as the result of China’s infrastructure initiatives. Another...
South32, a globally diversified mining and metals company, yesterday reported an increase in production in all segments for the three months to June as compared to previous quarter. However, the company’s full year performance that ended in June was lower for several commodities. The company increased its alumina production by 2 per cent in the June quarter to 1.3-million tonnes. The aluminium production in the same quarter stood at 248,000 tonnes, an increase of one per cent. South32 achieved 2 per cent increase in total aluminium production at Mozal Aluminium in FY17. “We delivered record annual production at Mozal Aluminium and stronger aluminium volumes overall as both of our smelters continued to operate at their maximum technical capability,” Graham Kerr, South32 Chief Executive...
LME aluminium, as expected, failed to hold steady above US$1,900 level. After night trading on Thursday, July 20, the light metal fell to US$1,898 per tonne from its earlier gain of US$1,907 per tonne on July 19. Though the US dollar is weak, LME aluminium does not seem to be drawing any support from that; moreover, crude oil prices are also directionless ahead of the OPEC meeting. So, the contract will find no support. Reuters’ technical analysis suggests that signals are mixed for LME aluminium, and will become clear only when the light metal comes out of a neutral range of US41,917-1,928 per tonne. A break above the upper limit could take LME aluminium to retest US$1,939, whereas, a break below US$1,917 could cause a loss in the range of US$1,895-1,904 per tonne. According to Shanghai...
Queensland businesses are being hit with multi-million dollar price increases in electricity costs with some putting the hikes at 80%. A multi-million dollar price increase in electricity cost has hit a number of businesses in Queensland including Gladstone's Boyne Smelters. The revelation came after a request by Federal Energy Minister Josh Frydenberg for an investigation into Queensland's generators over possible price overcharging. Gladstone's Boyne Smelters said that till date they have till date curtailed 18,000 tonnes of aluminium capacity due to its failure to get affordable electricity rate. The higher electricity rate has cost them more than $40million so far and it is likely to cross $100million for the year. Mining giant Glencore was affected by a 35% increase threatening the...
The prices for A00 Aluminium Ingot for all major China markets (North, South, North-East and South-West) have registered a rise today, on July 20, after yesterday’s drop on July 19. The revised prices for the commodity are as follows: On July 20 2017, Thursday, the average prices for A00 Aluminium Ingot for North China market have increased from RMB 14,180/t on July 19 to RMB 14,260/t. A00 Aluminium Ingot at South China market jumped from RMB 14,205/t on July 19 to RMB 14,295/t. The price in East China market (Zhejiang) jumped from RMB 14,165/t on July 19 to RMB14,250/t on July 20 and for Jiangsu province it increased from RMB 14,145/t to RMB14,240/t. For the Northeast China market, the price increased from RMB 14,080/t on July 19 to RMB 14,195/t today. For the Southwest China market, the...
AlCircle, the world’s leading aluminium industry portal, proudly announces the launch of AlCircle China , a global platform for the booming Chinese aluminium market. Team AlCircle, headed by Mr. Kamal Prakash, Managing Director of Jiwan Group, the holding company of AlCircle Pte Ltd., and Mr. Vikas Devnani, Vice President AlCircle unveiled the website today at Aluminium China 2017 exhibition at Shanghai New International Expo Centre in Shanghai. Addressing a huge congregation of industry delegates present at the launch, Mr. Kamal Prakash said, “Shanghai is the economic capital of China, and China being more than 50 per cent of aluminium producer and consumer in the world, I think, this is the right place to launch AlCircle China.” “AlCircle is not just another web based platform, but we...
Alcoa Corporation reported financial results for Q2 2017 on July 19. The Company increased revenue on higher shipments and grew its cash balance sequentially. Alcoa remains profitable despite lower alumina prices. “Alcoa generated solid profitability in the second quarter with strong cash flow that grew our cash balance to more than $950 million,” said Roy Harvey, President and Chief Executive Officer. “We are pursuing a simple set of strategic priorities to reduce complexity, drive returns and strengthen the balance sheet, and we will continue to base each of our decisions on these three key levers for the benefit of our stockholders,” he added. In Q2 2017, Alcoa reported net income of $75 million compared to Q1 2017 net income of $225 million. Results include the negative impact of $41...
LME aluminium gained some strength buoyed by optimism generated by the scheduled release of policy decisions by the Bank of Japan and European Central Bank today. The lightmetal contract rose by 1.05 per cent from its previous day’s close of US$1,887 per tonne to US$1,907 per tonne on Wednesday, July 19. Reuters’ technical analysis suggests that LME aluminium retest a support at US$1,917 per tonne, a break below which could lead to loss to US$1,903 per tonne, while a break above the level could lead to a gain in the range of US$1,953-1,962 per tonne in the foreseeable future. According to Shanghai Metals Market projections, the uptrend in LME aluminium will be a limited one; the contract will move at US$1,915-1,935 per tonne on Thursday, July 20. As on July 19, LME official cash buyer...
According to the latest data from World Bureau of Metal Statistics (WBMS) and published by Shanghai Metals Market, the primary aluminium market worldwide was in a deficit of 735,000 tonnes during January-May as compared to 1.1 million tonnes for the whole of 2016. The global primary aluminium production rose 1.37 million tonnes or 5.9 per cent year-on-year through January-May. China produced 13.86 million tonnes of primary aluminium during January-May, accounting for 56 per cent of global total. The demand for global primary aluminium grew 1.61 million tonnes year-on-year to 25.34 million tonnes in the same period. Primary aluminium production worldwide was 5.04 million tonnes while consumption was 5.08 million tonnes in May. China’s primary aluminium production increased 4.2 per cent...
According to the latest data showed by the National Bureau of Statistics (NBS), the primary aluminium production in China jumped last month exceeding December’s record production of aluminium. The country produced 2.93 million tonnes of primary aluminium in June, an increase of 7.4 per cent year-on-year. The production exceeded December’s record production of 2.89 million tonnes. The total production of aluminium in the first half of 2017 stood at 16.84 million tonnes, up 8.8 per cent year-on-year. China aluminium producers increased their production to rake in some more profits from the strengthening prices of aluminium which was a result of the government initiated output cut.
LME aluminium is finding it difficult to hold ground above US$1,900 per tonne. The light metal contract is faltering around US$1,900 per tonne, and the strengthening US dollar index suggests that the trough in the LME aluminium price trend will further deepen in the near term. As on Tuesday, July 18, the contract closed at US$1,887 per tonne, down from the previous day’s close of US$1,901 per tonne on Monday, July 18. Going by Reuters’ technical analysis, LME aluminium seems to be retesting a resistance at US$1,939 per tonne, a break above which could lead to an increase to US$1,953 per tonne, which is unlikely in the foreseeable future. According to Shanghai Metals Market projections, LME aluminium will find support at US$1,900 per tonne and remain range-bound at US$1,910-1,940 per tonne...
