admin 2 Comments

Hindalco’s first share sale through QIP generates 3X demand

India’s first ever metal industry share sale through qualified institutional placement (QIP) floated by Hindalco Industries generated overwhelming response in the market last week. Institutional investors lapped up the shares which went on to reinforce their confidence in the aluminium major’s manufacturing success. Hindalco Industries Ltd raised US$550 million over the last weekend through the QIP.

The QIP- the largest non-bank issue since Indiabulls’s QIP in 2015, saw demand surging more than 3 times and exceeded US$1.5 billion, reported sources aware of the matter. Hindalco had priced the QIP at a premium of 2.7 per cent to the Sebi floor price of INR 184 per share.

 

 

admin No Comments

Japanese buyers offered aluminium premium of $135 per tonne for April-June quarter

As reported by Reuters, three major aluminium producers, South32 Ltd, Rio Tinto Ltd and UC Rusal have offered aluminium premium of $135 per tonne to Japanese buyers for shipments in the April to June quarter. According to sources from the pricing sector, this records a 42% increase from previous quarter. This offer would mark the second quarterly increase continuously. The increase is driven by rise in premiums in the United States and Europe and falling inventories Japan due to solid local demand.

admin No Comments

Ghana outlines plans for an integrated aluminium industry

 

Ghana outlines plans for an integrated aluminium industry

The Minister of Finance, Ghana, Mr Ken Ofori-Atta, has expressed the government’s desire to fast-track economic development of the country during the presentation of the 2017 budget statement . The government has decided to develop an integrated aluminium industry through six stages under this plan. The six stages include development along the entire value chain of aluminium starting from bauxite mining to the value added aluminium products, power plants and logistic infrastructures.

 

admin No Comments

Indonesian government to develop smelting facility in North Kalimantan

Airlangga Hartarto, Minister of Industry, has announced that the government will develop a smelting facility in North Kalimantan in Indonesia. Presently, Indonesian government has not utilized the regions alumina and bauxite potentials in Kalimantan.

All these development have indicated the positive expectations generated among the industry players and the market participants as a result of the recent gains in the LME aluminium prices.

admin No Comments

Last year ended on a high at the ALUMINIUM show in Germany.

The message across the industry was summed up nicely by Christian Wellner, managing member of the executive committee of the German Confederation of the Aluminium Industry: “Light but also hard, corrosion-resistant and easy to recycle; these are the four properties that promise such a bright future for ‘white gold’. Whether it’s in the automotive industry, aeronautics or construction, global megatrends are the forces that drive expanding demand for aluminium.”

While the future looks positive, companies at the event spoke of high trade barriers, access to markets and raw materials as the biggest challenges.

It will be interesting to watch this year unfold and we will be there along the way; reporting the latest industry news and providing you with the up-to-date technological advances and developments in aluminium production and processing.

I am always on the lookout for new contributors to both the print and digital editions. Many authors from the industry have commented on the interest their articles have generated and we are always looking to interview industry professionals and make site visits.

Please get in touch if you are interested in giving your company more coverage or you have something you want to tell the industry.

I hope you enjoy this issue and wish you all the best for the year ahead.

admin No Comments

China orders production cut on alumina and aluminium to control pollution

The week has seen a few major happenings in the primary aluminium industry. Hindalco has created stir in Indian market by launching QIP.
According to a Bloomberg News report, China has ordered aluminium producers to curtain their production capacity in 28 cities during winter months as Beijing has been facing smog problems for years. China has also ordered steel producer to cut their production capacity.

The China has ordered to slash production capacity on aluminium and alumina by more than 30 percent, according to the order issued by authorities including the Ministry of Environmental Protection (MEP) and the National Development and Reform Commission.

The China has come up with this order after the MEP’s proposal, in a draft policy document seen by Reuters that would be among Beijing’s most radical moves so far to tackle air quality in the country’s most polluted cities.