Asian Meatal News
Lubei Chemicals has decided to expand its alumina capacity from its current level of 1 mtpy to 2 mtpy by end-2021.
According to an internal source, the 1 mtpy expansion project commenced construction recently and is scheduled for completion in 18 months. Backed by total investment of RMB 2bln, the project is designed with two alumina production lines – one 700 ktpy SGA line and one 300 ktpy non-SGA line.
The project will be reliant on imported bauxite, with the company’s total demand for imported bauxite is estimated to rise to 7mtpy once the new production lines come online.
Lubei Chemicals produced 900 kt of alumina in 2019 and its output for March 2020 is estimated at 80 kt – the same as the previous month. The company holds 60 kt alumina in stock.
Mainstream alumina prices in Shandong are standing at RMB2,580~2,630/t.