Asian Metal News
Chalco Shanxi Huaxing alumina refinery has three alumina production lines comprising one 1 mtpy and two 500 mtpy lines. The 1 mtpy line has been under suspension with the two 500 ktpy lines operational during March – one of which is entirely dependent on imported bauxite. The company suspended the two smaller lines for maintenance in late March and restarted the large 1 mtpy line which is chiefly reliant on domestic bauxite (approximately 70%).
The company is expected to consume 100 kt of Guinean bauxite in April, a decline of 20% from 130 kt in March. In the meantime, the company’s domestic bauxite consumption is expected to increase to 120 kt. Six local bauxite mines with designed daily capacity of 10 kt, capable of supplying 7 kt bauxite per day, makes the company self-sufficient in domestic bauxite supply.
Chalco Shanxi Huaxing can consume 1.8 mtpy of imported bauxite per annum. The company began using imported bauxite in July 2019 and consumed 800 kt of imported bauxite during that year. It used 400 kt of imported bauxite during Q1 2020 and currently holds 200 kt stocks – capable of sustaining two-months’ operation.
Guinean bauxite (Al2O3 45% min, SiO2 3% max grade) is USD45~46/t CIF China, down by USD0.5/t from last week.