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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Mubadala Development Company (Mubadala), the Abu Dhabi-based investment and development company, released its interim financial statements and business highlights for the first half of 2013. Business highlights from across the Mubadala Group in the first half of 2013 included: • The inauguration of the Shams 1 concentrated solar plant in the Abu Dhabi Western region by HH Sheikh Khalifa bin Zayed Al Nahyan, President of the United Arab Emirates. • The announcement that, subject to regulatory approval, EMAL and DUBAL will operate jointly as a new entity, Emirates Global Aluminium. • EMAL's finalizing of its landmark project financing of Phase II and the installation of the final steel structure for the 1.7km potline of its Phase II expansion, completing all major civil and engineering work...
Trade activities for Japanese aluminum spot imports were thin Monday as Japanese market participants shifted their focus to domestic trade after having concluded their fourth-quarter contract premiums negotiations last week, sources said. In the absence of spot deals, bids or offers reported from Japanese buyers and overseas sellers, Platts assessed the spot aluminum premium for imports into Japan Monday at $245-246/mt plus LME cash, CIF Japan, unchanged from Friday. Japanese traders said they were expecting end-users to ask for price reductions on the back of the Q4 import premiums settling lower at $245-246/mt plus LME cash CIF last week, down from $249-250/mt for Q3. This however, has yet to be seen because of a lack of inquiries. So far, there were only a handful of deals heard for...
Well-positioned geographically to serve the growing markets in Eurasia, Dubai Aluminium ("DUBAL") and Emirates Aluminium ("EMAL") - the two primary aluminium smelters in the UAE that sold a total of 1,839,419 tonnes of cast metal products worldwide in 2012 - will exhibit jointly at the 3rd Aluminium Technologies, Machinery and Products Trade Fair ("ALUEXPO 2013"), taking place in Istanbul, Turkey from 3 to 6 October 2013. Khalifa Industrial Zone Abu Dhabi ("KIZAD"), of which EMAL is the anchor tenant, will also have a display on the combined DUBAL-EMAL stand. "Given the UAE's convenient geographic location, and the strong relationships already established within Turkey, we are confident that DUBAL-EMAL can play a growing role in greater Eurasia," explains Nasser Zainal (General Manager:...
UC Rusal, the Government of Krasnodar Territory and the Ministry of Transportation of the Russian Federation have agreed to join forces to build the Taman Dry Cargo Port. The main role of the port will be the transhipment of aluminium and alloys and the chief goal of the project will be the development of a deep water port on the Taman Peninsula. The deal between the three parties will be signed at the Xll International Investment Forum Sochi – 2013. For Rusal, the project will create an alternative to existing port capacity at Azov and Black Sea ports at Novorossiysk and Temryuk, from where the company exports its metal. The project fits in with Rusal’s long-term strategy to reduce operating costs and ensure transport security through ‘logistics optimisation’. Vladislav Soloviev, Rusal’s...
Unveiling a new plan for high growth through diversification and expansion, aluminium giant Nalco is set to invest more than INR 33,000 crore in a host of sectors including energy to boost its productivity and profitability. "NALCO is embarking upon an ambitious growth plan involving a massive investment of more than INR 33,000 crore in next three to four years, not only in aluminium sector but also in energy sector," chairman and managing director Ansuman Das told reporters. "Nalco has begun a new odyssey to conquor the challenges of present and threats of future with its new Corporate Plan ... This will give a significant boost to the company's productivity and profitability," he said. The plan encompasses expansion - both brownfield and greenfield, diversification into energy and...
President Barack Obama has tapped Alcoa Chairman and CEO Klaus Kleinfeld to join the President's Advanced Manufacturing Partnership Steering Committee 2.0, part of a continuing effort to maintain US leadership in the emerging technologies that will create high-quality manufacturing jobs and enhance America's global competitiveness. "Manufacturing is a core engine of economic growth, and innovation keeps that engine running," said Alcoa Chairman and CEO Klaus Kleinfeld. "We look forward to using our innovation expertise to help ensure America remains the birthplace of technology breakthroughs that spur growth and create advanced manufacturing jobs." Alcoa innovation has been behind major milestones in the automotive, aerospace, packaging, building and construction, commercial...
Hydro and Agder Energi have signed a Letter of Intent (LOI) for the possible establishment of a jointly owned company to operate and further develop their combined assets in the Otra River, southern Norway, where Hydro recently acquired the Vigelands Brug hydropower plant. The LoI is conditional on a proposed adjustment of the Industrial Concession Act to enable private entities the possibility to organize an ownership share in a company with liability (ANS/DA). This will enable private entities to take out profit in the form of power rather than restricting it to financial remuneration, which is important to Hydro as a fully integrated aluminium company active throughout the value chain from bauxite to finished products. Should it materialize, Hydro would own less than one-third of the...
A potential shutdown of the Tiwai Pt aluminium smelter would barely dent the value of Meridian Energy, but Labour/Green electricity reforms would take a big bite out of the power giant. A new research report suggests the value of Meridian shares would fall just 2 cents if the smelter shut down, because the power contract price is at such a low level that Meridian would be "economically indifferent to smelter closure". In the first significant independent analysis of Meridian Energy, a research report from First NZ Capital says shares in Meridian could trade at $1.40 to $1.60 on listing, if the market values the company like Contact Energy or Mighty River Power. First NZ Capital analyst Nevill Gluyas described Meridian as a cash-flow powerhouse which could be worth $2 a share on a...
Abu Dhabi-owned Mubadala Development Company reported its total comprehensive income doubling to Dh2.1 billion in the first six months of the year as the fair value of its financial investments and other assets improved. The government-owned investment company earned Dh1.1 billion in the first half of 2012. The company, which has diverse business interests from owning largest global stakes in the semiconductors manufacturing, to aluminium smelters in the country, running pan-GCC natural gas pipeline, operating satellites, and owning oil and gas concessions along with expanding interests in aerospace manufacturing reported revenues plunging 8.1 per cent to Dh14.8 billion in the period. The decline in sales from last year’s tally of Dh16 billion was a result of the “one-time exceptional...
China's Shandong Chiping Xinfa Group plans to raise the capacity at its Xinjiang aluminum smelter by 550,000 mt/year to 1.35 million mt/year by the end of the year, up 68.8% from 800,000 mt/year currently, a source close to the company said Friday. "We have already completed the 550,000 mt/year expansion, but it is not operating as yet, and we've not confirmed when it will start up, probably after the holidays next week," he said. "But it should definitely be by the end of this year." In 2013, the Xinjiang smelter is expected to produce 800,000 mt of aluminum, in line with the output in 2012. The company aims to produce 1.3 million mt in 2014, the source said. The prevailing weak domestic aluminum market has not deterred the company from its expansion plans in Xinjiang as costs in the...
Romania’s aluminum producer Alro Slatina, controlled by Vimetco, has completed an investment worth some EUR 10 million (RON 43.6 million) to increase its competitiveness. The project, which started in March 2011 and was co-financed by the European Union, focused on strengthening and upgrading its productivity via new equipment purchases, reads a statement of the company. Under the terms of the project, Alro acquired equipment for finishing aluminum sheets, coils and strips: a tension leveller line, a cut to length line, a slitting line and an automatic packaging system. The project was implemented at its factory in Slatina over a period of 32 months. The total EU grant amounted to some EUR 4 million (RON 17.18 million). “By implementing this programme, we are able to consolidate and...
Shipments of rolled-aluminum products by Japanese fabricators to domestic and overseas markets increased by 0.05 percent in August, the second straight month of gains, an industry group said today. Volume rose to 148,988 metric tons last month from 148,920 tons a year earlier, the Japan Aluminium Association said in a report.
Aluminum of China is one of today's notable stocks on the rise, up 2.8% to $9.08. The Dow Jones Industrial Average is now trading fractionally lower to 15,333 and the S&P is trading fractionally lower to 1,697. Based on a current price of $9.08, Aluminum of China is currently 25.4% above its average consensus analyst price target of $6.77. The stock should hit resistance at its 200-day moving average (MA) of $9.83, as well as support at its 50-day MA of $8.53. Aluminum of China share prices have moved between a 52-week high of $13.29 and a 52-week low of $7.25 and are now trading 25% above that low price at $9.08 per share. The 200-day and 50-day moving averages have moved 0.29% lower and 0.50% higher over the past week, respectively. Aluminum Corporation of China Limited is a producer of...
APAC emerges as the greatest potential market during the forecast period. The growing markets of China and India are expected to continue witnessing growth in the aluminum industry. Higher demand from key consuming end user markets, such as construction, automotive, consumer durables, and packaging will contribute to this growth hike. The global aluminum industry experienced very good growth during the last five years and is expected to reach approximately $160 billion by 2017. Lucintel, a leading global management consulting and market research firm, has conducted a competitive analysis of the global aluminum companies and presents its findings in “Top Five Global Aluminum Companies: Performance, Strategies, and Competitive Analysis.” The report provides detailed insight into the...
Aluminium producer UC Rusal has called on the London Metal Exchange to postpone the changes it proposes to make to warehouse load-out rates, and instead provide more information about position holdings and encourage competition between warehouse firms. The measures the LME has proposed are intended to bring the queues for metal down to a maximum of 100 days in any location, by forcing warehouse firms to load material out at a higher rate than they bring it in, and are due to start in April. Rusal said it is concerned that the measures proposed by Hong Kong Exchanges & Clearing, which owns the LME, “risk creating further aluminium market distortions rather than addressing features that have emerged since 2008”. The LME itself has acknowledged that the proposal could lead to temporary...
At the meeting the Minister of Mining D.Gankhuyag expressed approval for the successful bilateral cooperation on economy between Mongolia and China and the efficient changes made into the coal agreement between Chalco and Erdenes Tavan Tolgoi LLC. The Minister of Mining also said that “Erdenes Tavan Tolgoi LLC is held by the Mongolian people. We are trying to increase the value of the business by developing a railroad and power station.” The Minister of Mining also stressed that “Erdenes Tavan Tolgoi will pay back the remaining 170 $ million it owes the Aluminium Corporation. Erdenes Tavan Tolgoi, the state owned company received an advance payment (loan) of 350 million USD from Chalco in July 2011, to be paid back in coal. The President of Chalco, Xiong Weiping, emphasized that the...
The BFIGroup said it has traced a steel oil tank belonging to the Aluminium Smelter Company of Nigeria (ALSCON), Ikot Abasi in Akwa Ibom state, to the neighbouring Ibom Power Company (IPC). BFIGroup is the Nigerian-American consortium that emerged the preferred bidder for ALSCON in 2004, but was disqualified in controversial circumstances by the Bureau of Public Enterprises (BPE), resulting in the ongoing legal tussle at the Supreme Court to determine the authentic owner of the plant. But, spokesman for UC RUSAL, Tatiyana Smirnova, said in a response to enquiries on the allegation, dismissed the report, saying: “The information is false and does not correspond to reality.” “No illegal stripping or removal of a 50,000 Litres Transformer oil Drain Tank from the ALSCON’s premise has...
INFINIUM announced today a breakthrough in aluminum production using its patented Pure Oxygen Anode technology, providing dramatic advantages over century-old technology used throughout the world. The company has successfully and repeatedly demonstrated its process for primary production of aluminum, an over $100B global market, which operates at lower production cost than today’s technology, using half the energy, and with virtually no emissions. INFINIUM also announced today that in recognition of these advantages, the Department of Energy’s ARPA-E office (ARPA-E) and the Massachusetts Clean Energy Center (MassCEC) are providing grant funding to support INFINIUM’s development and commercialization of this technology. “Production of aluminum using electrolysis has made only incremental...
