In the final three trading days before the National Day holiday, the South China spot market stayed soft: aluminium prices continued to edge lower, the SHFE aluminium backwardation structure strengthened, and premiums over the next-month and far-month contracts were actually elevated. Ahead of the holiday, the willingness to cash out at the high basis was strong, and amid ongoing destocking, discount-priced cargoes still dominated spot circulation; demand was largely subdued, with only localized bargain-hunting replenishment and quite limited buying interest. On the whole, however, the high spot premium for aluminium ingots in South China remained largely intact. As of September 30, the SMM A00 aluminium (Foshan) spot premium over the 2610 contract stood at RMB 260 per tonne, still within...
Four days to go, and the aluminium world is getting ready to move to Düsseldorf. From October 6-8, the city will host ALUMINIUM 2026 , with more than 800 exhibitors and partners and over 21,000 trade visitors expected at Messe Düsseldorf. The event will bring together producers, recyclers, downstream manufacturers, technology providers, equipment suppliers, policymakers and end users from across the global aluminium value chain. The 2026 edition comes at an important point for the aluminium industry. European producers are facing pressure from energy costs, international competition and tighter climate requirements, while concerns around raw material security and resilient supply chains continue to grow. At the same time, demand for aluminium is expanding across electric mobility,...
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The 18th International Arab Aluminium Conference (Arabal 2014) came to a close today, November 27, 2014 after three days of discussions, workshops and presentations by experts from the regional and international aluminium industry. The final day, November 27, 2014 kicked-off with a keynote presentation by Aluminium Bahrain B.S.C (Alba)’s Chief Executive Officer, Tim Murray on ‘Alba Safety Journey’ that highlighted the Company’s commitment to foster a zero-accident work environment. This was followed by a panel discussion ‘LME: Today & Tomorrow” on the business environment of the London Metal Exchange (LME) and later, a keynote presentation “Why the Aluminium market stands at a crossroad” by EGA’s Chief Marketing Officer, Walid Al Attar. This key session focussed on the strong demand for...
Emirates Global Aluminium (EGA) today signed a long-term contractual agreement (CSA) with GE Power & Water, to insure that the GE turbines installed in the Tasweelah smelter continue to run smoothly. The CSA will strengthen the special partnership GE already has with EGA as Tasweelah smelter is one of the first aluminium smelter sites globally where GE’s 9FA turbines were installed. In EMAL there are nine GE 9FA turbines and four steam turbines that were installed in two phases and have helped EGA to meet the goal of reducing their carbon foot print so as to meet the regulatory requirements set by the Abu Dhabi Environmental Agency. The CSA will extend the current contractual service agreement between EGA and GE for the three installed 9FA gas turbines as well as for the maintenance and...
The aluminium industry is constantly struggling with energy issues as it takes a lot of electricity to produce aluminium pushing up the cost of production. In this regard, renewable energy comes especially handy as you have the opportunity to avail cheap or even free energy. That is Germany is trying to do and manages is pretty well when the sun and wind cooperate in energy generation. At other times, the energy prices soar. Trimet Aluminium has come up with a solution to this disparity – storing energy in the large pools of aluminium. During the electrolysis process used in the smelting stage, the negative and positive electrodes are submerged in a tank with an alumina dissolved bath and using electricity it is separate into aluminium and oxygen. The heavy aluminium sinks to the bottom...
The prospect of Angul Aluminium Park has started to look a little better as the government has taken a renewed interest in the project. It has received approval in principle under Modified Industrial Infrastructure Up-gradation Scheme (MIIUS) of the Department of Industrial Policy and Promotion (DIPP) in the Ministry of Commerce and Industry. It is estimated that this elaborate project will cost approximately 125 crore and the Centre has granted a grant of 43 crore to get things started. The MIIUS has introduced a Special Purpose Vehicle that has been named Angul Aluminium Park Pvt. Ltd (AAPPL) where IDCO has 50.5 percent equity and Nalco has the remaining 49.5 percent share. Vishal Dev, the CMD of IDCO says that they are “committed to develop industrial infrastructure along with external...
Qatalum is currently participating in the 18th edition of the Arab International Aluminium Conference and Exhibition (ARABAL) in Manama. As in the previous years, Qatalum is represented at the most important trade event of the aluminium industry in the Middle East by a high-level delegation headed by CEO Tom Peter Johansen, deputy CEO Khalid Mohammed Laram, besides directors, department heads and specialists. Johansen spoke at an expert panel of GCC smelter CEOs, and Qatalum’s chief of Power Operations presented the company’s latest environmental and sustainability innovations at a renewable energy panel. At the ARABAL exhibition Qatalum met with investors, manufacturers, supply chain and logistics experts, and representatives of various regional international industries that Qatalum...
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....
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...
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...
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...
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...
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...
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...
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....
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...
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...
Shandong, China’s top aluminum production prince, is finding itself short of the light metal, as processing business booms, says Zhang Shiping, Chairman of Shandong Weiqiao Pioneering Group, as saying yesterday. Aluminum has found wide applications in China’s beverage can, automobile and other sectors, boosting demand for the light metal, Zhang added. Zhang proposed shifting to higher-margin aluminum processing business as a countermeasure against severe overcapacity in China’s aluminum market.
Press Metal Bhd’s bid to increase aluminium production at its Samalaju smelter is helping to boost Bintulu Port Holdings (Bintulu Port) as well. As a part of Press Metal’s Phase 3 expansion, Press Metal had announced the decision of doubling the capacity of the Samalaju aluminium smelter to 640,000 metric tonnes. The additional 320,000 metric tonnes could be utilized by Press Metal through 2016 and the remainder by early 2018, said AmResearch Sdn Bhd. Bintulu Port is already benefitting from the surge in Press Metal’s production, with a throughput of 860,000 metric tonne and 18,000 TEUs of aluminium, alumina anode carbon and other cargo from Press Metal. With Press Metal promising increased capacity, the Bintulu Port is likely to flourish even more in the coming months.
Hindalco Industries has shown promise in the second quarter of this financial year with a hike in the revenues by 36% when compared to last year and 7% when compared to the last quarter. The overall report seemed fine with 66% growth YOY and 20% up from the previous quarter however the net profit in the second quarter crashed by 78% YOY and 76% quarter-on-quarter and the major cause was the coal issue. Hindalco had to pay a one time provision of INR 563 plus INR 295 per tonne for the coal extracted out of the Talabira-I mine between 2003-04 and September 2014. This obviously depleted a large chunk of the profit at a time when the company was actually planning an expansion. It had hoped to boost the primary aluminium production from 560 KT to 1,278 KT by the end of 2014-15. Novelis, the...
