[SMM Express] Glencore plans to restructure its Rustenburg ferrochromium smelter

SMM1, March 19: according to recent reports, Glencore and its joint venture partner Merafe Resources are considering restructuring the Rustenburg smelter. Glencore did not specify the scale of its planned restructuring, but said Rustenburg's smelter is suffering financial losses and will continue to do so "in the foreseeable future."

It is reported that the Rustenburg smelter produces about 430000 tons of ferrochromium a year, and Glencore has a total smelting capacity of 2.3 million tons from South Africa. The decision was the result of deteriorating operating and market conditions in the ferrochromium industry in South Africa, including unsustainable electricity prices and disruptions, cross-subsidies and higher actual costs.

(Nersa), South Africa's national energy regulator, granted Escom (Eskom), the state-owned power company, an annual tariff increase of 9.4 per cent in 2019 / 2020, followed by 8.1 per cent and 5.2 per cent increases in subsequent years, respectively. Nersa also approved an additional 4.4 per cent increase in electricity tariffs to enable Eskom to recover costs, equivalent to raising the annual electricity bill to 13.9 per cent in 2019 / 2020 and a compound increase of 9 per cent over three years. This is 29.5% higher than the current electricity price.

In addition, as the aging fleet continues to collapse, Eskom increased the proportion of rolling blackouts last year, generating about 6000MW from the national grid. The so-called load shedding method was reused earlier this month, which affects the production and efficiency of power-intensive users such as the Rustenburg smelter.

Shivani Chetram, a spokesman for Glencore (Glencore) in South Africa, said this could result in about 665 jobs, of which about 619 are permanent employees.

SMM "2019-2022 China Nickel Industry chain report" released, more detailed data and analysis of the nickel industry, welcome to contact the SMM Nickel Research Group for consultation and subscription.

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Catalogue of China Nickel Industry chain report 2019-2022

Annual report Summary: global balance of Nickel supply and demand, 2011-2022

1. Aspects of Nickel consumption

1.1 Analysis of stainless Steel Industry in China and India

1.1.1 Chinese Market Analysis of stainless Steel

1.2.2 Indonesian Market Analysis of stainless Steel

1.2 Battery Industry

1.2.1 New Energy Battery Industry

1.2.2 Analysis of Nickel consumption of traditional E Battery from 2014 to 2022

2. Overview of nickel supply

2.1 Market Analysis of Primary Nickel

2.1.1 balance sheet and Price Forecast of Global first-level Nickel supply and demand for 2011-2022

2.1.2 Analysis of Global first Class Nickel production from 2011 to 2022

2.1.3 Analysis of first Class Nickel production in China from 2013 to 2022

2.1.4 quantitative Analysis of China's Import of Primary Nickel from 2009 to 2019

2.1.5 Analysis of global first-level nickel stocks from 2014 to 2019

2.2 Analysis of Secondary Nickel Market

2.2.1 balance between supply and demand and Price Forecast of E Nickel Pig Iron from 2012 to 2022

2.2.2 Global Nickel Iron production capacity 2011-2022

2.2.3 Global profit Analysis of Nickel Pig Iron from 2016 to 2019

2.2.4 Analysis of Global Nickel Pig Iron stocks from 2014 to 2019

2.2.5 Analysis of production capacity of E Global Water extraction Nickel (feni) from 2011 to 2022

2.3 Nickel Sulfate

2.3.1 Analysis of Nickel Sulfate Industry in China and the World

2.3.2 Global Nickel Sulfate production from 2016 to 2022

2.3.3 balance Table and Price Forecast of Nickel Sulfate supply and demand in China from 2014 to 2022

2.3.4 comparison of production cost of Nickel Sulfate with different mainstream Raw Materials

2.3.5 Global Nickel Intermediate production capacity 2017-2022

2.3.6 comparison of Global Intermediate Investment costs

2.4 Nickel ore

2.4.1 supply and demand balance and Price Forecast of Chinese laterite Nickel Mine from 2013 to 2021

2.4.2 quantitative analysis of nickel laterite imported from China from 2013 to 2021

2.4.3 inventory Analysis of laterite Nickel Mine in Chinese Port from 2014 to 2019

3. Appendix

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