The London Metal Exchange (LME) aluminium price chart reported declines on the November 10 trading session after a temporary surge at the November 9 close. Both near-term and longer-dated contracts posted over 1 per cent dip over the previous session. The LME aluminium cash bid as well as offer prices contracted 0.32 per cent day-on-day on November 10. The bid shifted from USD 3,145 per tonne to USD 3,135 per tonne. The offer price dipped from USD 3,147 per tonne to USD 3,137 per tonne. Explore- Most comprehensive and forward-looking industry-focused report — Global Bauxite & Alumina Market Forecast to 2036: Supply–Demand, Trade Flows & Price Outlook The LME aluminium three-month bid price reported a 1.11 per cent decline from USD 3,059 per tonne on November 9 to USD 3,025 per tonne on...
Futures: SHFE aluminium closed at RMB 23,170 per tonne in the daytime session (down 0.22 per cent), moving sideways. Prices barely held above the MA5 (23,111) but were capped by the MA10 (23,199) and MA30 (23,352), with the bearish alignment of moving averages unchanged. The MACD formed a golden cross below the zero axis (DIF -132.31, DEA -150.30), with the red histogram expanding to 35.98, but trading volume shrank sharply to 43,600 lots, and the volume-price divergence limited the rebound height. The core trading range for SHFE aluminium is suggested at 22,900-23,400. LME aluminium closed at USD 3,082 per tonne (up 0.31 per cent). Prices held above the MA5 (3,063.8), MA10 (3,072.5), and MA30 (3,068.4), but remained capped by the MA60 (3,166.4), in a weak recovery phase within the...
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Qatalum is the first company to achieve ISO/TS 16949 certification in Qatar, announced by the certification body, Det Norske Veritas (DNV), it allows for Qatalum to supply the global automotive industry with high-quality aluminium and fulfils another step of Qatalum's strategic objective of industrial diversification as part of Qatar's National Vision 2030. Qatalum's CEO, Tom Petter Johansen, described the importance of this quality certification for Qatalum by saying, "What this means to Qatalum is that we can continue our policy of economic diversification, allowing local business to tap into our high quality resource, to build value-added components in Qatar for export and local consumption, therefore furthering the downstream industrial base and increasing employment." "The standard...
A union representing 600 workers at the troubled Point Henry Alcoa aluminium smelter is optimistic the plant can be saved after meeting with US executives reviewing its future. Australian Workers Union Victorian secretary Cesar Melhem and a delegate from the plant, near Geelong, met executives at the company's headquarters in Pittsburgh on Friday (AEST). "I am somewhat optimistic but I am not counting my chickens until the final decision is made in the next four to six weeks," Mr Melhem said from Pittsburg. Alcoa is reviewing the future of the smelter, which has been hit by the high Australian dollar and low metal prices. The union official said they had received a good hearing from company heads. "(Alcoa's) main focus now is how they can turn it around, how they can continue smelting,"...
Goldman Sachs gave their outlook for aluminium as "bullish" supported by several factors such as rise in Chinese demand indicated by a fall in inventories at the London Metal Exchange, Shanghai Futures Exchange and COMEX amid constrained supply in the country. In a report released on May 2, 2012, its positive outlook on the silver metal also emanates from a slew of other factors such as the rise in waning political instability in Europe and hopes of modest growth in the US demand. According to data from LME, inventories at the exchange monitored warehouses fell below 500,000 tn today, down 14,125 tn, for the first time since Febuary 3, 2012. Falling inventories indicate a pick up in demand. Chinese demand was fuelled by Industrial profits for March which were up 4.5% year on year compared...
Alcoa Inc. (AA) , the largest U.S. aluminum producer, said returns on $3 billion of investments in Brazil “have not yet come” because of “unbelievably high” energy costs. “We’ve invested $3 billion there and frankly the returns have not yet come,” Alcoa Chief Executive Officer Klaus Kleinfeld said today in Pittsburgh, speaking at the company’s annual shareholders’ meeting. Losses in the South American country are “partly due to the unbelievably high energy costs,” he said. Alcoa, the second-largest aluminum producer in Brazil, said March 31 it’s considering curtailing output at its Pocos de Caldas and Sao Luis smelters in the country. In January, it asked the government for assistance in lowering energy costs. “We really have to change how we operate in Brazil,” Kleinfeld said. Alcoa...
Spot aluminum stocks did not increase following the May Day holiday. Due to transportation delays, aluminum stocks dropped in Guangdong. Domestic alumina prices climbed due to rumors of Indonesian export restriction, which in turn helped aluminum prices rebound. The most active SHFE aluminum contract climbed from RMB 16,200/mt up to RMB 16,425/mt, posting gains even as other base metal prices fell, and receiving support from both market fundamentals and capital inflows. While resistance is still felt at the 60-day moving average, strong support was found at RMB 16,300/mt. Spot aluminum prices climbed by more than RMB 100/mt last week, which has only three trading days due to the May Day holiday, as the light metal headed toward RMB 16,200/mt. Most deals were done at slight discounts over...
The spot premium for primary aluminum ingot, on a CIF Japan basis, was assessed 17% higher at $170-180/mt plus London Metal Exchange cash Monday, from $150/mt last week, following a 500 mt deal by a smelter in the Asia Pacific region, according to Platts data. The producer concluded the deal with a Japanese buyer, likely a trading house, at $180/mt plus LME cash CIF Japan for 500 mt of standard ingot, said two sources familiar with the deal. The cargo will be loaded in May and is expected to reach Japan over June-July. Separately, another producer said his indication for spot premiums was at $160-180/mt plus LME cash, CIF Japan basis, but added that he has not made any firm offers. Spot supply remains thin as producers have committed second quarter shipments to term buyers. Buyers in...
Ahmedabad, May 7 (PTI) Gujarat government is likely to take a final decision on setting up of an alumina plant and aluminium smelter in joint venture with Navratna PSU Nalco soon, a top official said. State-run Gujarat Mineral Development Corporation's (GMDC) board had recently discussed the JV proposal with Nalco and forwarded it to the state government for final decision. "After having discussions on the JV proposal with Nalco in our board, the proposal has been sent to the state government which will take a final decision on it," a top GMDC official told PTI. Nalco, a leading aluminium producer, had recently qualified as the sole bidder for the over Rs 10,000-15,000 crore alumina and smelter plant project proposed in Kutch district. It also paid the deposit amount of Rs 150 crore...
The Board of Directors of Alcoa AA -1.54% declared (a) a quarterly common stock dividend of 3 cents per share payable May 25, 2012 to shareholders of record at the close of business on May 14, 2012 and (b) a quarterly dividend of 93.75 cents per share on Alcoa's $3.75 cumulative preferred stock payable July 1, 2012 to shareholders of record at the close of business on June 8, 2012.
www.stockcall.com/ offers investors comprehensive research on the Aluminum industry and has completed analytical research on Alcoa Inc. AA -1.54% and Century Aluminum Co. CENX -2.80%. A cloudy Chinese economic forecast in combination with weakness in Europe and slow industrial growth in the U.S. is creating an uncertain outlook for the aluminum industry. Growing demand out of the aerospace and automotive markets as well improved aluminum pricing is encouraging though. www.stockcall.com/ is an online platform where investors doing their due-diligence on the Aluminum industry can have easy and free access to our analyst research and opinions on Alcoa Inc. and Century Aluminum Co. While the future for the industry is unclear, several companies have turned in positive first quarters. Alcoa...
Shenzhen Shandong Nuclear Power Construction Company has moved the Bombay High Court seeking invocation of the 30-crore bank guarantee provided by Vedanta Aluminium for machinery purchase. A bench comprising Chief Justice Mohit Shah and Justice NM Jamdar directed that the bank guarantee funds be deposited with it. The next hearing will be on July 16. A single-judge court had earlier ruled in favour of Vedanta. Vedanta and China's Shenzhen Shangong are engaged in a dispute over the payment for supply of machinery to the London-listed company's power plant being set up at a cost of 1,200 crore in Lanjigarh, Odisha. The Chinese company has delivered the equipment, but the project is stuck due to lack of governmental clearances. Shenzhen alleged that Vedanta Aluminum hid the fact that it did...
Indonesia will proceed with a ban on exports of raw minerals, with some exemptions for miners that plan to build local processing facilities, and will publish details of the rule May 6. “Miners will still be allowed to export after meeting some requirements, including obtaining permits, Edi Prasodjo, a director of coal at the Energy and Mineral Resources Ministry, said at a conference in Jakarta today. “The IUP must be clean and clear, paying taxes and royalties,” Prasodjo said, referring to a mining business license by its Indonesian initials. The largest nickel-ore and bauxite supplier to China announced the prohibition in February, two years ahead of schedule. The new rules apply to holders of mining business licenses issued after 2009. Companies with a so-called contract of work,...
A jury has sided with aluminum producer Alcoa in a $12 million lawsuit filed by a former miner who blamed an aggressive cancer on hazardous substances the company dumped at a southwestern Indiana mine. The Vanderburgh County jury reached the verdict Tuesday after a more than two-week trial on Bil Musgrave's claims that years of working, hunting and fishing at the Squaw Creek Mine site near Boonville exposed him to chemicals that caused his rare form of liver cancer. Alcoa's lawyers argued the lawsuit was filed after a statute of limitations on legal actions involving recreational use of mine land and that Musgrave's doctors couldn't confirm a link between the chemicals and his cancer, the Evansville Courier & Press reported. Alcoa was a joint owner of the 8,000-acre mine property, which...
German aluminium smelter Voerde Aluminium launched insolvency proceedings on Friday but said the business would continue to operate and it would seek to restructure. The company, which produces around 115,000 tonnes of aluminium annually and has 410 employees, said it had hit liquidity problems because aluminium prices had fallen since July last year while production costs have risen it. The smelter was sold by British group Corus in 2009 to BaseMet, owned in turn by investor Gary Klesch. "I am confident that we will be able to find a suitable solution to continue operations which will be in the best interests of the company and creditors," Chief Executive Wout Kusters said in a statement.
Aluminium Bahrain (Alba) achieved a net income of $57 million for the first quarter this year, the company announced today. The earnings before interest, taxes, depreciation, and amortization (EBITDA) for the quarter were $115 million, it said. The results were impacted by lower aluminium prices and higher gas costs, a statement announcing the results said. The aluminium smelter’s production rose 2 per cent and sales remained stable despite slowdown in Europe, it said. The company achieved sales of $496 million for the quarter. .Commenting on the Q1 2012 results, Alba’s chief executive Laurent Schmitt said: “Without LME effect, Alba was able to maintain its performance despite the significant impact of gas price increase -- which took effect in January 01, 2012. “The overall financial...
The European aluminium market saw physical premiums increase this week as supply remained tight and material continued to be tied up in warehouse and unavailable to the physical market. The higher premium levels are starting to see a growing awareness among consumers that their margins are likely to be squeezed as they struggle to pass on higher costs to end-users who are not seeing a significant improvement in new orders. There was a wide spread of premiums quoted across the market with one European trader stating that premiums for duty-paid were as high as $250-255/mt and $195/mt for duty-unpaid plus LME cash. However, a second trader scoffed at premium levels this high. "If you hear those numbers it's like me telling you I'm three meters high, however, if I tell you I'm one and three...
Whilst it is early days in the costing of our government’s infrastructure investment programme, ballpark figures suggest R800bn will be spent over the next 20 years. The numbers are still to be tallied, but it appears that the proposed nuclear power stations will be the biggest beneficiaries of government investment since 1994. Government’s second Integrated Resource Plan indicates that nuclear energy will contribute to approximately one quarter of all power generated in South Africa by 2030. According to the 2012 Budget Review, government has budgeted R350bn for the proposed nuclear power plants over the next 15 years. However, independent estimates suggest that the total investment cost could go over R700bn. The exact mix between “user pays” and government funding is not yet clear, but...
The fate of the Rs 1,000-crore investment made by Vedanta Aluminium Ltd (VAL) in setting up a power plant in Odisha is hanging in balance. A high-level inter-ministerial committee that recommends coal allocation for power units has refused to take up the vexed issue of linkage for VAL’s plant in view of the legal nature of the matter. VAL, which is a unit of London-listed Vedanta Resources Plc, had earlier asked the committee to renew a letter of assurance (LoA) for supply of coal to the 270-Mw capacity plant by Coal India subsidiary Mahanadi Coalfields Ltd (MCL). This, after an LoA had lapsed when VAL failed to achieve project milestones. “The standing linkage committee has noted the developments in this case,” according to an official close to the development. “It has decided that it is...
Nickel trading range for the day is 907.23-962. Market is looking to take support at 917.3, a break below could see a test of 907.2 and resistance is now likely to be seen at 944.5, a move above could see prices testing 961.6. Nickel yesterday traded with the negative node and settled -1.37% down at 927.5 tracking LME Nickel prices overnight opened at USD 17,795/mt, with the high end USD 17,864/mt, finding support at USD 17,285/mt. The market is focusing on US non-farm employment data for April, and if it turns out negative, speculations of the QE3 implementation should grow. Aluminium trading range for the day is 109.68-112.28. Market is looking to take support at 110.2, a break below could see a test of 109.7 and resistance is likely to be seen at 111.5, a move above could see prices...
