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27 APRIL 2021 AL CIRCLE

South32’s aluminium production drops 3% QoQ in 3Q21; Hillside output stands at 537,000 tonnes in nine months

EDITED BY : HEENA IQBAL 2MINS READ

South32 reported aluminium production of 240,000 tonnes in 3Q21. That was down 3% quarter-on-quarter. Output stood at 736,000 tonnes in the nine months ended March 2021, down 1% year-on-year from 741,000 tonnes in the nine months ended March 2020.

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Hillside Aluminium saleable production decreased by 1% to 537,000 tonnes in the nine months ended March 2021 as the smelter continued to test its maximum technical capacity, despite the impact from increased load-shedding. Production guidance remains unchanged at 720,000 tonnes for FY21.

“The new energy supply agreement for the smelter is currently with the National Energy Regulator of South Africa for review. The new agreement is to cover power supplied for a 10-year period with a tariff that is South African rand based, and a rate of escalation linked to the South Africa Producer Price Index,” South32 said.

Mozal Aluminium saleable production stood at 199,000 tonnes, down by 1% in the nine months ended March 2021 with the smelter continuing to perform strongly despite the impact of load-shedding and workforce restrictions related to COVID-19 in the quarter.

Aluminium production is expected to approach guidance of 273,000 tonnes for FY21.

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 “Strong operating performance across the portfolio during the quarter combined with improving prices for most of our commodities saw our net cash position increase to US$517 million,” said Graham Kerr, South32 CEO.

“Looking ahead, we expect the global economic recovery combined with fiscal stimulus to continue, driving a rebound in metal demand and sustaining higher prices for many of our key commodities.”


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EDITED BY : HEENA IQBAL 2MINS READ

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