25 JUNE 2012Platts
Rusal rennovates its three aluminum smelters for European market
Edited by : AL CIRCLE
2 min read
Rusal announced Thursday the completion of the first stage of its value-added campaign for its Aluminium Division West business unit.
The program boosted the share of value-added products, or VAP, for three smelters, reaching 100% at the Volkhov unit (24,000 mt/year of VAP), 80% at the Nadvoitsy unit (60,000 mt/year of VAP) and 100% at the Urals unit (75,000 mt/year of VAP).
Next up will be the modernization of the Volgograd and Kandalaksha smelters, slated for completion in the first quarter of 2013. The drive will enable the smelters to produce 165,000 mt/year and 75,000 mt/year of VAP respectively. The Kandalakasha smelter will produce wire rods, and the Volgograd smelter will increase its output of slabs. The increase of alloys production is underway at the Bogoslovsk aluminum smelter. Upon completion the plant will be able to produce alloys in form of small ingots and slabs for rolling mills.
After these revamps, all smelters of the Division West will reach 100% share of VAP, comprising wire rod, foundry, slabs. These products are used in the energy, wire, rolling, automotive and aerospace industries.
"Given the current market environment, the switch to VAP is the most efficient approach to enable the smelters of Aluminium Division West remain above breakeven point," said Aluminium Division West director Alexey Arnautov.
In the first quarter of 2012, the primary aluminum share in Rusal's sales was 63%. Aluminum slabs accounted for 11% of sales, extrusion billets 10%, foundry alloys 8%, wire rods 7%, with other products comprising 1%.
The company's Aluminium Division West business unit caters to the European market.
The Aluminium Division East unit manages the Sayanogorsk, Khakass, Krasnoyarsk, Irkutsuk, Novokuznetsk and Bratsk smelters, and caters to the Asian markets.
The program boosted the share of value-added products, or VAP, for three smelters, reaching 100% at the Volkhov unit (24,000 mt/year of VAP), 80% at the Nadvoitsy unit (60,000 mt/year of VAP) and 100% at the Urals unit (75,000 mt/year of VAP).
Next up will be the modernization of the Volgograd and Kandalaksha smelters, slated for completion in the first quarter of 2013. The drive will enable the smelters to produce 165,000 mt/year and 75,000 mt/year of VAP respectively. The Kandalakasha smelter will produce wire rods, and the Volgograd smelter will increase its output of slabs. The increase of alloys production is underway at the Bogoslovsk aluminum smelter. Upon completion the plant will be able to produce alloys in form of small ingots and slabs for rolling mills.
After these revamps, all smelters of the Division West will reach 100% share of VAP, comprising wire rod, foundry, slabs. These products are used in the energy, wire, rolling, automotive and aerospace industries.
"Given the current market environment, the switch to VAP is the most efficient approach to enable the smelters of Aluminium Division West remain above breakeven point," said Aluminium Division West director Alexey Arnautov.
In the first quarter of 2012, the primary aluminum share in Rusal's sales was 63%. Aluminum slabs accounted for 11% of sales, extrusion billets 10%, foundry alloys 8%, wire rods 7%, with other products comprising 1%.
The company's Aluminium Division West business unit caters to the European market.
The Aluminium Division East unit manages the Sayanogorsk, Khakass, Krasnoyarsk, Irkutsuk, Novokuznetsk and Bratsk smelters, and caters to the Asian markets.
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