Asian aluminium premiums are facing more pressure ahead of Q4 talks. CRU’s Asia CIF aluminium premium is now USD 202 per tonne, well below the USD 395 per tonne Main Japanese Port (MJP) Q3 benchmark. MJP Q4 offers have also dropped sharply. They fell from USD 325 per tonne in early September to USD 245–260 per tonne as the new quarter approaches. This shows weaker sentiment in the market. Aluminium premiums are under pressure across Asia, especially in Korea, Malaysia and Taiwan. These markets are more exposed to spot price changes, so premiums can move quickly when supply or demand changes. Explore the production, demand and consumption forecasts of bauxite and alumina in our report: " Global Bauxite & Alumina Market Forecast to 2036: Supply–Demand, Trade Flows & Price Outlook " Premiums...
Rio Tinto is connecting its Kitimat aluminum production with a new British Columbia-based supply chain through a long-term agreement with RevoCast Aluminum Billets Ltd., under which aluminum from BC Works will be combined with recycled aluminum to produce billet for North American manufacturers. Announced on September 28, the agreement gives Rio Tinto exclusive marketing rights for aluminum billet produced at RevoCast’s newly commissioned Langley casting facility. The operation combines primary aluminum from BC Works with recycled aluminum processed by RevoCast. Explore the production, demand and consumption forecasts of bauxite and alumina in our report: “ Global Bauxite & Alumina Market Forecast to 2036: Supply–Demand, Trade Flows & Price Outlook ” The deal, however, will not change...
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AMAG Austria Metall AG expects tough conditions again in 2014 as aluminium prices stay under pressure, it said on Tuesday, while reporting third-quarter core profit that beat market expectations. "The current level of uncertainty means it is still too early to make any definitive statements with regard to 2014. However, there are indications of a difficult operating environment ahead next year, with aluminium prices set to remain low and no sign of a let-up in the pressure on margins faced by Casting and Rolling divisions," it said in a statement. Its third-quarter earnings before interest, tax, depreciation and amortisation (EBITDA) fell 12.7 percent to 33 million euros ($44.6 million), beating the average estimate of 29.2 million euros in a Reuters poll of analysts. It reiterated its...
Aluminium d.d. Mostar from Mostar, Bosnia and Herzegovina, has commissioned an ingot casting line supplied by Hertwich Engineering, Austria. In addition to electrolysis metal, the company can now remelt and cast clean process scrap on the new line, thus increasing the flexibility and production capacity of the casthouse. The line comprises a melting/casting furnace and an air-cooled belt-type ingot caster for up to ten tons per hour with ingots weighting between seven and ten kilograms. Air cooling ensures very high metal quality with respect to the hydrogen content. In addition, high-silicon and other eutectic and hyper eutectic alloys can be efficiently cast. The downstream equipment includes automated stacking, packing and marking units.
Rio Tinto and Chinalco will explore a partnership to bring forward the next era of mining technology aimed at delivering significant value and re-shaping industry best practice. Rio Tinto chief executive Sam Walsh and Chinalco president Sun Zhaoxue captured their intent in a Memorandum of Understanding (MoU) signed in Beijing. Under the MoU, the parties aim to draw on their respective strengths to expedite the development of new mining technology and further develop Rio Tinto's Mine of the Future™ programme. The collaboration brings together Rio Tinto's acknowledged global leadership in partnering to deliver mining innovation with the resources and expertise of Chinalco's world-class research and development centres. The aim is to develop and deploy leading-edge technology to create safer...
Analysts at Goldman Sachs have argued that warehouse queues do not influence aluminium prices, rebutting complaints by users of the metal who have suggested the opposite. Long queues to take delivery of aluminium from London Metal Exchange warehouses have become the focus of a furious debate in recent months, triggering a series of complaints by metal users, criticism by senators and investigations by US regulators. Goldman, which owns one of the largest warehousing companies on the LME, has been named as a defendant in a number of class action lawsuits alleging its warehousing activities have pushed up aluminium prices. The bank has said the suits are meritless. Goldman’s analysts argued the queues had driven a dislocation between the price of LME futures and physical aluminium, but had...
Alba participates in the 17th International Arab Aluminium Conference & Exhibition (Arabal 2013) taking place from November 05 - 07, 2013 at the St Regis Hotel, Saadiyat Island, Abu Dhabi, UAE. Alba 's Chief Executive Officer, Tim Murray will join key members of other GCC smelters for a panel discussion. The company's participation underlines Alba 's commitment to foster strong links with smelters in the region and expand the global presence of Alba . Aluminium Bahrain B.S.C. ( Alba )'s status as one of the top aluminium producers in the region and the world was enhanced with its participation and sponsorship support for the 17th International Arab Aluminium Conference & Exhibition (Arabal 2013) taking place from November 05 - 07, 2013 at the St Regis Hotel, Saadiyat Island, Abu Dhabi,...
It's been a year since Alcoa Intalco Works signed a 10-year power supply deal and two years since management and employees reached a new labor contract, avoiding a potentially crippling strike. For years uncertainty about the power supply cast a shadow over Alcoa's future in Whatcom County. Having those issues settled has allowed the facility west of Ferndale to focus on becoming more efficient, continuing some environmentally friendly initiatives and reaching out to strengthen relationships with employees, said plant manager Barry Hullett. Aluminum manufacturing is strongly tied to global markets, however, and the current issues are leaving the remaining U.S. plants in a precarious position. Globally the market is in a strange situation where demand is increasing, but prices have hovered...
Sumitomo Corporation (SC) has entered into a share purchase agreement with Press Metal Berhad (PMB) for acquisition of a 20% share in the second phase of the aluminium smelting project in Sarawak, Malaysia (Capacity: 320,000 metric ton per year; Completion: the end of 2013) being developed by PMB through its 100% subsidiary, Press Metal Bintulu Sdn. Bhd. (PMBSB). SC already has a 20% equity in the first phase of the PMB's aluminium smelting project (Capacity: 120,000 metric ton per year). PMB is the leading integrated aluminium company in Southeast Asia and has been promoting vertical integration of its aluminium operations. SC deals with primary aluminium metals widely in Japan and other Asian markets. SC expects this enhanced partnership with PMB will benefit its long term growth...
The project to develop a 560,000 tonnes per annum calciner in Shandong, China - in which Dubai Aluminium (" DUBAL ") owns a 20 per cent stake as part of a joint venture with Sinoway Carbon Energy Holdings, Hong Kong - has been completed on schedule. So says Masood T Al Ali ( DUBAL 's Vice President: Supply and a Board Member of Sinoway Carbon), who advises that the new calciner was built in two equal phases of 280,000 tonnes each: Phase I was completed in May 2013, with Phase II being commissioned. Al Ali advises that DUBAL 's investment in the new venture - known as Sinoway Carbon Company Limited ("Sinoway") - is aligned with the company's strategy to expand its interests in the upstream (raw materials) sector as part of its overall commitment to long-term sustainability. " DUBAL 's...
A meeting of the Board of Directors of National Aluminium Company Ltd will be held on November 11, 2013, to take on record the Unaudited Financial Results of the Company for the quarter ended September 30, 2013 (Q2). Shares of National Aluminium Company Ltd was last trading in BSE at Rs.35.65, down by Rs.0.80 or 2.19%. The stock hit an intraday high of Rs.36.80 and low of Rs.35.35. The total traded quantity was 1.64 lakhs as compared to 2 week average of 1.26 lakhs.
On the occasion of the Omani Women’s Day, Sohar Aluminium (SA) hosted a conference for the ladies working at SA, by Kamla Ali al Aufi, Chairman of the Entrepreneurs Forum in Chamber of Commerce and Industry (OCCI), member of the Oman Chamber of Commerce and Industry and the owner of two factories, one producing marble and granite and the other skincare products. Kamla also won the ‘Entrepreneur of the Year Award’ in 2009 and for a second time in 2013. Dana Geadah, SA Communications Manager stated; “When I had the honour to personally meet with Kamla, I was pleasantly surprised by her modesty and sincerity, and I was hoping that all my fellow working ladies can have the chance to meet with her as well, and listen to her inspirational success story and lifetime achievements”. Kamla accepted...
RHB Research has maintained its Buy call on Press metal with a higher fair value of RM3.77 from RM2.77 after its recent disposal of the loss-making Hubei smelter via an asset swap in exchange for a profitable extrusion unit. In a note on Monday, RHB said it lauds Press’ disposal of a 20% stake in Press Metal Bintulu SB (PMB) to Sumitomo for RM444mil. “This will cut Press’ gearing from 1.74 times to 1.2 times, giving rise to a RM336.4mil disposal gain. However, ongoing repairs at the Mukah smelter and weak aluminium prices may cap its share price. “The disposal consideration of PMB will be subject to certain adjustments. We are hopeful of a reward of not more than US$21mil upon finalisation of PMB’s FY18 accounts, which take into account certain production costs that are likely within...
LME aluminium is expected to retest support at $1,842 per tonne, after it completes its pullback towards $1,860. The support is provided by the 38.2 percent Fibonacci retracement on the fall from the Aug. 19 high of $1,949 to the Sept. 17 low of $1,775.50. It has caused a pullback towards the lower channel line of a rising channel. The metal's escape from the channel signals it has moved into the price band of a duplicated channel, the lower channel line of which points to a target at $1,800. A more realistic target could be $1,816, the 23.6 percent retracement.
The Akwa Ibom House of Assembly on Friday condemned the alleged destruction of Aluminium Smelter Company of Nigeria (ALSCON) in Ikot Abasi Local Government Area of the state by UC RUSAL, the Russian firm currently in charge of the management of the company. The lawmakers made the criticism at a plenary session, following a motion on a matter of urgent public importance moved by Assemblyman Aboh Uduyok, member representing Ikot Abasi/Eastern Obolo Constituency. Mr. Uduyok accused RUSAL of systematically destroying all the assets of ALSCON, which ought to have been a veritable tool of job creation for the youths of the state. He alleged that RUSAL had sold the vital components of ALSCON's machineries, including stem rods, anodes and Bussbarr/Riser, used in the manufacturing of steel ingots....
Russia's Rusal, the world's largest aluminum producer, is running its mills at full capacity for billet, slab and foundry alloy production but cutting ingot output, Rusal Marketing CEO Steve Hodgson said in an interview Friday in Tokyo. Later this month, Rusal will start negotiations with Japanese buyers on 2014 contracts for billet and other value-added products, or VAP. Hodgson said he expects a sellers' market. Rusal said previously it started to focus on VAP in 2012. VAP prices were generally $150-200/mt higher than the standard 99.7%-aluminum ingot, market sources said. Rising demand from Japan and elsewhere has expanded Rusal's VAP output to 42.8% of the company's total aluminum production in the April-June quarter, compared with 34% of sales in 2010. "Our VAP production is running...
Nippon Asahan Aluminium (NAA) has sent a letter to the Indonesian government asking for the settlement of a dispute over the takeover of PT Indonesia Asahan Aluminium (Inalum) through international arbitration. In a press statement received by ANTARA here on Friday, the Ministry of Industry said the government received the letter on October 31, 2013 at 5.44pm notifying the government that the Japanese company wished to seek a settlement through the International Center for Settlement of Investment Dispute (ICSID). "We received the letter unexpectedly and we accepted it to mean a change to the takeover mechanism that has, so far, been agreed to during negotiations," the statement said. Following the notification, the government will need to change the compensation payment plan that it had...
Century Aluminum is set to issue its Q313 quarterly earnings data on Monday, November 4th. Analysts expect the company to announce earnings of ($0.30) per share and revenue of $402.70 million for the quarter. Century Aluminum opened at 8.68 on Friday. Century Aluminum has a 52 week low of $6.02 and a 52 week high of $10.60. The stock’s 50-day moving average is $8.50 and its 200-day moving average is $8.80. The company’s market cap is $769.1 million. Several analysts have recently commented on the stock. Analysts at Goldman Sachs Group Inc. reiterated a “sell” rating on shares of Century Aluminum in a research note to investors on Tuesday, October 8th. On a related note, analysts at Cowen and Company cut their price target on shares of Century Aluminum from $13.00 to $10.00 in a research...
Fishermen in Batubara regency, North Sumatra, have said they are concerned with seawater contamination caused by waste containing cyanide allegedly from PT Indonesia Asahan Aluminium (Inalum). Anuar, 53, a fisherman from Perupuk village, said he often found dead fish, such as local fish gelamo, rays and Indian salmon, floating on the surface of the sea when he went fishing. He, however, said he did not know what had caused the deaths of all the fish. Such discoveries, he said, had made many fishermen reluctant to go fishing. He said the government should immediately address the problem so that fishermen could still make both ends meet from fishing. North Sumatra University environmentalist Jaya Arjuna said he had done a study on the polluted seawater off the coast of Batubara. He said...
State-Owned Enterprises (SOE) Minister Dahlan Iskan has guaranteed that PT Inalum will not face raw material supply problems after it is taken over from Japan by his ministry on November 1, 2013. "The House of Representatives (DPR) and the government have approved the acquisition of Inalum and state firms are ready to manage it," Dahlan Iskan said after opening an Annual Pertamina Quality Awards 2013 function at the headquarters of state-owned oil and gas firm Pertamina here on Wednesday. Dahlan Iskan said that based upon the master agreement on its acquisition, Inalum will be 100 percent owned by the Indonesian government. The minister noted that some have expressed doubts about Inalum facing difficulties in obtaining raw materials because Inalum has been supplied with raw materials from...
