SHANGHAI, Aug 9 (SMM) – The average operating rate across licensed smelters of secondary lead in Jiangsu, Anhui and Henan rebounded 3.1 percentage points from the previous week to stand at 56.1% for the week ended August 9, showed an SMM survey.

The rates for Jiangsu and Auhui remained unchanged at 50% and 55.1%, respectively, while that for Henan rose 12.9 percentage points to 69.6% as Jinli recovered to a level of processing 800 mt of battery scrap per day.

Asset restructuring is expected to keep Anyang Jinpeng smelter in Henan from reopening in the short term.

Environmental probes across a raft of regions tightened supplies of secondary lead bullion, and slowed shipments of refined materials. This, together with improved demand for lead-acid batteries, narrowed the discounts of secondary lead.

As of August 9, secondary refined lead was traded in a discount of a maximum of 50 yuan/mt against the average price of SMM 1#, tax included and ex-factory.