Research on the Supply Chain of Aluminum Anti-collision Beams for Automobiles

Research On The Supply Chain Of Aluminum Anti-collision Beams For Automobiles

Aluminum Wire Supplier Screening 

Cost Analysis of AL Extrusion for Target Units

Cost Analysis Of AL Extrusion For Target Units

Research on the Sustainable Development Layout of key Players(Foil, Roll, Plate)

Research On The Sustainable Development Layout Of Key Players(Foil, Roll, Plate)

Optimization of Purchasing Cost for Casting Alloys

Optimization Of Purchasing Cost For Casting Alloys

Home

Metal News

Rio Said to Cancel $2.6 Billion Africa Aluminum Plant

Li-ion Battery Americas 2024

CLNB 2024 9TH CHINA NEW ENERGY EXPO

Indonesia Nickel & Cobalt & EV Industry Conference 2024

ASEAN Tin Industry Conference 2024

ASEAN Coal Industry Conference 2024

ASEAN Aluminium Industry Conference 2024

2024 ASEAN Automotive Supply Chain

2024 Global Renewable Metal Industry Chain Summit

2nd Li-ion Battery Europe 2024

NET ZERO EUROPE - Solar & Energy Storage Summit

BHP to Stop Copper Output at Spence Mine, Union Says

JOHANNESBURG, Oct. 16 -- Rio Tinto Group, the third-largest mining company, scrapped a project to build an aluminum smelter in South Africa because of the country's power shortages and rising electric bills, two people familiar with the plan said.
&nbsp;&nbsp;&nbsp; Rio sent a termination letter to Eskom Holdings Ltd., South Africa's state-run utility, ending the project, said the people, who declined to be identified because the decision hasn't been made public. The two companies, and South Africa's Department of Trade and Industry, said in a joint statement e-mailed today that they were abandoning a power agreement for the smelter.
&nbsp;&nbsp;&nbsp; Rio acquired the $2.6 billion, 588,000 metric-ton-a-year Coega project on the east coast after the London-based company bought Canadian aluminum producer Alcan Inc. in 2007. Rio said a year ago that Coega's development was on hold until at least 2015 because of political uncertainty and a lack of electricity.
&nbsp;&nbsp;&nbsp; &quot;It's a blow for South Africa,&quot; Reg Rumney, director of the Centre for Economics Journalism in Africa, said by phone today from Grahamstown, in Eastern Cape Province. &quot;South Africa's foreign direct investment flows haven't really been strong,&quot; said Rumney, who was formerly an analyst at Johannesburg-based investment research firm Business Map.
&nbsp;&nbsp;&nbsp; Eskom, which supplies about 95 percent of South Africa's power, says it will triple prices to help curb a shortfall in funding a 385 billion-rand ($53 billion) expansion project. The utility sells power to BHP Billiton Ltd.'s aluminum smelters under long-term contracts linked to prices of the metal.
&nbsp;&nbsp;&nbsp; Not in Great Shape 
&nbsp;&nbsp;&nbsp; &quot;Eskom isn't in great shape to subsidize anybody right now because we've just made a 3 billion rand loss,&quot; Chairman Bobby Godsell said in a speech last week, when asked if Eskom could afford to support a new aluminum smelter.
&nbsp;&nbsp;&nbsp; There isn't enough power for the project to proceed, Rio's aluminum unit Rio Tinto Alcan Inc. said in today's statement. About $130 million has been invested by the companies and South Africa's state-owned Industrial Development Corp., with building originally due to begin in September 2008, the statement said.
&nbsp;&nbsp;&nbsp; Rio, which estimated the cost of the South African plant on Jan. 16, is eliminating 14,000 jobs and slashing spending by $5 billion after the world recession curbed demand for metals. Aluminum prices in London fell 36 percent last year and traded at $1,913 a metric ton by 6:08 p.m. local time.
&nbsp;&nbsp;&nbsp; While Rio may still build a smelter in South Africa, it agreed with the government and Eskom to &quot;stop the clock and have further discussions,&quot; Rio spokeswoman Jean Chawapiwa-Pawa said by mobile phone today. There's no date for talks, she said.
&nbsp;&nbsp;&nbsp; Rio fell 52 pence, or 1.7 percent, to 2,946 pence by the close of trading in London, giving the company a market value of 67 billion pounds ($109 billion).
&nbsp;&nbsp;&nbsp; (Source: Bloomberg) 
&nbsp;

SMM Daily Review (Oct. 15)

Rio Said to Cancel $2.6 Billion Africa Aluminum Plant | Shanghai Non ferrous Metals

Rio Said to Cancel $2.6 Billion Africa Aluminum Plant

SMM Events & Webinars

NET ZERO EUROPE - Solar & Energy Storage Summit

2nd Li-ion Battery Europe 2024

2024 Global Renewable Metal Industry Chain Summit