Cleveland Cascades LtdBühler GmbHTelestackThe Wolfson Centre for Bulk Solids Handling Technology TBA GroupCoaltrans Asia 2021
  • Van Aalst
  • Telestack
  • TMS Awards 2021
  • Cimbria
  • Sailors Society
  • The Wolfson Centre for Bulk Solids Handling Technology

Rusal’s first half uplift despite supply disruptions

(Posted on 16/08/18)

UC Rusal, a leading global aluminium producer, has announced its results for the three and six months ended 30 June 2018.

Total revenue increased by USD233 million, or 4.9% to USD4,997 million in the first six months of 2018 from USD4,764 million in the corresponding period of 2017.

UC Rusal is a leading, global producer of aluminium, in 2017 accounting for approximately 5.8% of global production of aluminium and 6.3% of alumina.

During 1H 2018 aluminium among other base metals was affected by series of supply disruptions. The lock-out of workers at the 450ktpa ABI smelter in Quebec has caused Canadian output fall over 8% year-on-year YTD. Meanwhile, Albras in Brazil continues to operate at half capacity following the Alunorte outage. At the same time, there is no significant rise of smelters’ restarts both in China and in the World ex-China due to high raw material costs and power supply disruptions.

Trade wars and imposed import duties, together with the OFAC Sanctions, have caused significant growth of premiums and prices increasing total costs incurred by consumers of aluminium. RUSAL supplies significant volumes of alumina to EU smelters. Consequently OFAC Sanctions against RUSAL, coupled with Alunorte outage, have caused a surge in alumina prices in April, pushing price level close to USD600/t. This in turn led to significant cost pressure on non-integrated smelters, when alumina price has approached the point of 21% of LME aluminium price against historical average of 14-15%.

UC RUSAL (Aluminum Division excl. BOAZ) produced 1.870 million tonnes of aluminum in the six months ended 30 June 2018, compared to 1.831 million tonnes in the same period of 2017. The output increased by 39 thousand tonnes (+2.1%).

The value-added products volumes for the six months ended 30 June 2018 declined to 869 thousand tonnes from 941 thousand tonnes in the same period of 2017 due to adjustment of sales mix performed by management following the OFAC Sanctions.

Alumina production was stable, amounting to 3.816 million tonnes in the six months ended 30 June 2018, comparing with 3.817 million tonnes for the six months ended 30 June 2017.

In May 2018 alumina production at Friguia refinery was restarted in Guinee at half the total capacity.

Bauxite production increased by 5.4% to 6.280 million tonnes for the six months ended 30 June 2018 from 5.959 million tonnes for the six months ended 30 June 2017 due to: CBK (Compagne Buaxites de Kindia) restoring the production level to 1,731 kt following the upgrade of the carriage rolling stock; BCGI (Bauxite Company of Guyana Inc) increasing production by 96 kt; the restart of bauxite capacity at Friguia refinery complex in April 2018.

Rusal’s evenue from sales of primary aluminium and alloys increased by USD54 million, or by 1.3%, to USD4,059 million for the first six months of 2018, as compared to USD4,005 million for the corresponding period in 2017, primarily due to 15.2% increase in the weighted-average realized aluminium price per tonne (to an average of USD2,322 per tonne in the first six months of 2018 from USD2,016 per tonne in the first six months of 2017) driven by an increase in the LME aluminium price (to an average of USD2,209 per tonne in the first six months of 2018 from USD1,880 per tonne in the first six months of 2017), which was partially offset by a 12.0% decrease in primary aluminium sales volume.

Revenue from sales of alumina increased by 22.8% to USD447 million in the first six months of 2018 from USD364 million in the corresponding period of 2017 primarily due to an increase in the average sales price by 32.1%, which was partially offset by a decrease in the sales volumes by 6.9%.

Latest News

En+ first Russian company with UN recognised Energy Compact

(Posted on 07/12/21)

En+ Group, the world’s largest producer of low carbon aluminium, has received confirmation from... Read more


Copper Mark for BHP’s Olympic Dam, Spence and Escondida

(Posted on 30/11/21)

BHP’s Chilean operations Escondida and Spence, and Olympic Dam in Australia, have been awarded... Read more


Evolution to acquire Ernest Henry Mining from Glencore

(Posted on 25/11/21)

Glencore and Evolution Mining Limited (Evolution) have entered into a binding agreement for the sale... Read more


Increased investment for low-carbon AP60 aluminium production

(Posted on 18/11/21)

Rio Tinto is investing US$87 million to increase its low-carbon aluminium production in Canada with... Read more


Production of products from aluminium-scandium alloy launched

(Posted on 18/11/21)

RUSAL, a leading global aluminium producer, together with KUMZ, has successfully launched the production... Read more


Top-line regional growth and end-markets drives Schenck Process profit

(Posted on 11/11/21)

Driven by sustained market recovery and further progress in the implementation of its strategic agenda... Read more


Kamoa Copper reaches new monthly record

(Posted on 08/11/21)

Chairman of the Board, Ben Munanga and Chief Executive Officer, Mark Farren have announced that Kamoa... Read more


Global ag companies to accelerate towards net-zero emissions

(Posted on 02/11/21)

Ten of the world’s biggest global agricultural trading and processing companies have issued a... Read more


Low-carbon aluminium key ingredient for Japan’s growth

(Posted on 28/10/21)

En+ Group, together with its metals segment, RUSAL, has published research that stresses the critical... Read more


Rio Tinto and Carbfix partner for carbon capture and storage

(Posted on 28/10/21)

Rio Tinto and Carbfix are partnering to implement a technology for capturing carbon and permanently... Read more


ViganSailors SocietyPort of South LouisianaVan AalstTMS Awards 2021Port of Stockton
  • Coaltrans Asia 2021
  • TBA Group
  • Bühler GmbH
  • TOC Events
  • Port of South Louisiana

Subscribe to our newsletter

Keep up to date with the latest global news in bulk cargo handling and shipping