red   Ferrous Processing and Trading Provides Valuable Services
    Ferrous Processing and Trading is one of the nation's premier scrap metal recyclers. This job is one that is a lot more valuable, and a lot more important, than you might think. Scrap metal recycling has a lot of benefits which aren't always easy to see.
Protecting our Nation's Resources Choosing to recycle scrap metal with companies like Ferrous Processing & Trading helps to preserve precious natural resources. Rather than wasting more energy and time mining for virgin ore, manufacturers can use recycled metals to create new products. This helps keep our natural land resources untouched – preserving the delicate balance of the ecosystem and storing these resources away for future generations. By using recycled metal, companies also reduce emissions, water use, and air pollution.
There are over 500 scrap metal recycling companies across the United States. Many of these accept scrap metal for cash. For example, Ferrous Processing & Trading offers cash for ferrous and non-ferrous scrap metal from private individuals and business clients.
The value of scrap metals depend on the type of metal and the current market value. However, you can have your scrap metal evaluated to receive an estimate. Ferrous Processing & Trading is committed to providing the best value for their transactions, giving sellers peace of mind. Precious metals such as gold and silver will bring in more money, and others like copper are also averaging a higher value. However, common metals like aluminum and steel can be found in many household items including appliances or automobiles which can add up quickly.
red   Vedanta Resources Appoints Tom Albanese as CEO
The Board of Vedanta Resources plc recently announced Tom Albanese will take over as the Chief Executive Officer of Vedanta and join the Vedanta Board with effect from 1 April 2014. He succeeds Mr MS Mehta, who is retiring at the end of March 2014.
Vedanta also intends to recommend to the Sesa Sterlite Ltd. board, the appointment of Mr Albanese as Sesa Sterlite Ltd.'s Chief Executive Officer, after the end of Mehta's term on 31 March 2014.
Anil Agarwal, Chairman of Vedanta, said: "Tom Albanese's skills and experience in leading world- class mining companies will be of great value in supporting our strategic objective of creating sustainable long- term value for all our stakeholders. Tom will lead all the businesses of our Group companies. The Board remains committed to delivering against our stated key strategic priorities of optimising our operations, strengthening our balance sheet and further simplifying the Vedanta Group structure. We would like to thank Mr. M.S. Mehta for his leadership and we wish him all the very best ahead.”
Tom Albanese said "Vedanta is a world class business and I'm honoured to be working with Anil and the Board as we lead Vedanta in the next phase of its development. My focus as CEO will be on operational excellence, efficient cost management and sustainability to drive long term value for all our stakeholders. I also look forward to supporting Anil and the Board in implementing the strategic ambitions of the Vedanta Group.”
red   London Copper Sinks to Three Month Lows
    London copper sagged to three month lows as traders, impatient for signs of a post holiday pick up in Chinese demand, zeroed in on data showing a modest cooling in the world's top consumer of metals as reported by Reuters. China's factory activity shrank again in February as output and new orders fell, a private survey found on Monday, reinforcing slowdown concerns already fanned by an official report that found activity had slowed to an 8 month low. Worries of swelling stockpiles and sliding growth may well be overblown but with an economic picture clouded by a dearth of data over Lunar New Year, there is little to soothe concerns. Mr Joel Crane analyst of Morgan Stanley in Melbourne said, “As long as demand is there, inventories are likely to get chewed through quite quickly. The big question is, is the demand really there? We don't know January and February are holiday interrupted months (and) we're probably six weeks away from getting the full picture. So far I haven't seen anything hugely negative for demand.”
Three month copper on the London Metal Exchange traded at USD 6,967.25 a tonne by 0720 GMT, extending the small gains from the previous session. Prices earlier fell to USD 6,963.25 per tonne, the weakest since December 4 for a loss of more than five percent this year. The trader said that the most traded May copper contract on the Shanghai Futures Exchange slid by 0.91% to CNY 48,760 per tonne having plumbed its lowest in 7 months. Technical selling accelerated copper's downfall. Prices should keep heading lower. Shanghai copper stocks are at the highest in nearly 10 months after near record imports in January, while premiums for bonded copper have dropped USD 5 to USD 155 to USD 175 in the past week. Traders shrugged off a positive reading that earlier showed China's services sector grew at its fastest pace in three months in February. They will be closely watching The National People's Congress annual session that begins on Wednesday for policies that could impact metals demand.
red   Zinc Premium Reaches Six Year High as Inventories Shrink
    According to Sucden Financial Limited, zinc for immediate delivery reached the highest premium in 6 years to the three month contract in London amid shrinking stockpiles, financing accords and moves to roll bearish bets forward. The gap expanded to USD 38 per tonne by the close on the London Metal Exchange. That was the widest backwardation since August 13th 2007. A fee to borrow the metal for a day reached a three year high. A single party held a share of available LME zinc stocks and positions on the exchange as of February 26 that Sucden deemed significant.
Steve Hardcastle head of client services for industrial commodities at Sucden in London said, “Generally the market has been running short and this is the result. The shorts have to cover and the longs don't.” A short position is a bet on lower prices and a long is a wager on a gain. Borrowing a ton of zinc for a day in London or making a simultaneous purchase and sale for later delivery, cost as much as USD 15 on Friday, the most since November 2010. One unidentified party held as much as 39% of available LME inventories and positions on the bourse as of February 26.
Backwardation, or higher prices for earlier deliveries, usually signals limited supplies of metal. Zinc inventories tracked by the LME are the lowest since December 2011 and orders to draw supplies from inventories, or cancelled warrants account for 26% of the total. About 60% of stockpiled LME zinc may be locked into financing accords and unavailable to consumers.
red   Alcoa Name Most Admired Metals Company in World for 3 Consecutive Years
    Alcoa has been named the most admired metals company in the world for the third consecutive year in Fortune magazine's prestigious annual ranking on corporate reputation. Alcoa has been on the Most Admired list since Fortune began the annual ranking 31 years ago.
Alcoa also received top ranking in eight of the nine key attributes: innovation, people management, use of corporate assets, social responsibility, quality of management, financial soundness, long term investment and quality of products and services.
Mr Klaus Kleinfeld chairman & CEO of Alcoa said that "It is an honor for Alcoa to be named the most admired metals company for the third consecutive year. This recognition is a tribute to Alcoa's 60,000 employees around the world who are committed to serving our customers and communities every day and to the growing importance of innovative, lightweight metals to modern society.”
red   DJilin Liyuan to Commission 100 Mn Extrusion Press from SMS Meer into Operation
    Jilin Liyuan Aluminium Company in Liaoyuan, Jilin Province, China has commissioned a 100 MN front loading extrusion press supplied by SMS Meer Germany. With this press, the Chinese company is expanding its product portfolio in the market for very large aluminum profiles.With a maximum billet charge weight of 1,500 kilograms, Jilin Liyuan can produce, for example, profiles for railway construction and shipbuilding with the 100-MN press and that with profile widths of up to 700 millimeters.
Jilin Liyuan has also ordered a 160-MN front-loading press, a 60 MN direct and a 36 MN direct and indirect tube press from SMS Meer.
red   Glencore Xstrata Profit Rises 20% after Copper Output Gains
    Glencore Xstrata Plc, the global commodity trader and metals producer run by billionaire Ivan Glasenberg, said profit advanced 20 percent last year after copper output increased and costs fell.
Adjusted net income rose to $3.67 billion, from $3.06 billion, the Baar, Switzerland-based company said today. It reported a 23 percent drop in pro-forma adjusted net income of $4.58 billion, described by Citigroup Inc. as an “exceptionally strong” result, exceeding its $4.01 billion estimate.
Glasenberg, the company's largest shareholder, completed the $29 billion takeover of Xstrata Plc in May last year to add coal, copper, zinc and nickel mines to Glencore's trading empire. The transaction is expected to generate cost savings of as much as $2.4 billion this year, Glencore said today. That compares with an estimate of $2 billion in September.
“A very strong set of results and a strong delivery on costs coupled with the potential delivery for more synergies to be realized during 2014 is likely to be well received by the market,” Heath Jansen and Jatinder Goel, analysts at Citigroup who have a buy rating and a 370 pence price estimate, wrote today in a report.
The stock rose for the first time in nine days in London trading, advancing as much as 3.5%, and was 2.2% higher at 333.55% at 9:21 a.m. The FTSE 350 Mining Index gained 0.9%.
“We continue to see healthy demand growth in all our key commodities, underpinned by the long-term trend of urbanization in emerging markets and parts of the developed world returning to trend growth,” Glasenberg, who owns an 8.3 percent stake, said in a statement.
Glencore reported a full-year dividend of 16.5 cents a share, 4.8 percent higher than 2012. Net debt increased 22 percent to $35.8 billion. Copper production climbed 26 percent to 1.5 million metric tons last year, with gains recorded in Africa and Chile, the statement shows. Higher output and “improved cost management” mitigated the effect of weaker commodity prices, it said.
red   Midhani Plans to Start Exports Next FY
    Mishra Dhatu Nigam Limited, which is setting up a INR 200 crore capacity expansion project in Hyderabad, has plans to unlock the export potential in select product segments from March to April 2015as reported by Business Standard .
Narayana Rao CMD of Midhani said that “Midhani has laid out an initial roadmap, under which it plans to undertake export orders from March to April 2015. However, it has not opened up the export list yet.”
Rao said that “The rational for exports flows from the fact that the upcoming facility would double its production capacity to 6,000 tonne per annum. At a customer meet in November, exports form an important option once fresh capacity kicks in. The INR 200 crore capacity expansion plant is slated to be ready by September to October this year. Even as I say the plant would be ready by September to October, I wish to commission it by August 15th.”
He said that the ongoing mould testing of aeronautical grade titanium by it would be completed in the next 3 to 4 months. The titanium sponge for this was being supplied by a joint effort of Kerala Metals and Minerals Corporation and Defence Metallurgical Research Laboratory, a research arm of missile manufacturer DRDO.
The mini ratna company, working under the aegis of Defence ministry, is into the manufacture of ferro alloys, materials out of rare earths and moulds for defence forces, space programme and civil industrial purposes.
red   Alcoa to Close Australian Smelter and Rolling Mills
    Alcoa will permanently close its Point Henry aluminium smelter and two rolling mills in Australia.
The smelter and an adjacent rolling mill are located in Geelong, Victoria. The second mill and a recycling facility are located in Yennora, New South Wales.
Alcoa will close the smelter in August and the rolling mills by the end of 2014.
The Point Henry smelter was placed under strategic review in February 2012 due to challenging market conditions. A comprehensive review found that the 50-year-old smelter has no prospect of becoming financially viable.
The two rolling mills serve the domestic and Asian can sheet markets which have been impacted by excess capacity. Alcoa of Australia operates the smelter where approximately 500 employees work. Alcoa Inc. operates the rolling mills which employ about 480 people.
The Anglesea coal mine and power station that currently supplies approximately 40% of the power needs for the Point Henry smelter has the potential to operate as a stand-alone facility after the smelter closes. Alcoa of Australia will actively seek a buyer for the facility.
The Portland aluminium smelter in Victoria will continue normal operations, as will Alcoa of Australia's bauxite mining and alumina refining operations in Western Australia.
The closures will reduce Alcoa's global smelting capacity by 190,000 metric tons and reduce Alcoa's can sheet capacity by 200,000 metric tons. Including the closure of the Point Henry smelter, Alcoa has announced closures or curtailments representing 551,000 metric tons of smelting capacity.
red   Norsk Hydro Boosts Production Capacity for Aluminium Automotive Body Sheet
    Norsk Hydro said recently it will increase annual capacity for aluminium car body sheet to 200,000 mt with a new production line at its rolled products plant in Grevenbroich, Germany.
The new production line will cost an estimated Eur130 million ($178.59 million) and follows the decision to expand annual continuous heat treatment capacity from 20,000 mt to 50,000 mt at the German plant, the Norwegian aluminium producer said in a statement.
The expansion will include annealing and surface treatment lines.
The car body sheet from the new production line will be used in the manufacturing of automotive components, including car hoods, doors, tailgates and side panels. Hydro's executive vice president, head of rolled products business area, Oliver Bell said: "In the search for light-weighting vehicles and reducing CO2 emissions, automotive customers are looking for innovative solutions in aluminium. We are therefore increasing our production capacity of state-of-the-art automotive body sheet."
The new production line will be completed in the second half of 2016 and will not change Hydro's earlier capital expenditure guidance for 2014. 
red    UC Rusal Witness Supply Side Adopting
    The total aluminium output amounted to 3,857 thousand tonnes in 2013, a decrease of 8% as compared to that of 2012. Even Alumina output totalled 7,310 thousand tonnes in 2013, a decrease of 2% as compared to that of 2012.The Bauxite production totalled 11,876 thousand tonnes in 2013, a decrease of 4% as compared to that of 2012.
Commenting on the full year production results, Oleg Deripaska, CEO of Rusal said: “2013 witnessed the supply side adopting a disciplined approach to production, with RUSAL successfully completing its production cut programme which resulted in cuts of 316,000 tonnes, or 8%, compared to 2012. Reduced operational levels are expected to be sustained throughout 2014 as Rusal remains at the forefront of creating an efficient supply side dynamic.
“The full impact of the production cuts, backed by growing consumption demand, has begun to be take effect, with the aluminium market – ex-China – moving into deficit at the end of 2013. This deficit is estimated to expand further in 2014. Looking ahead, RUSAL expects global demand to remain healthy, with 6% growth forecast in 2014, supported by positive signals of returning confidence across all key sectors and markets. While demand fundamentals remain robust, it is vital that the supply side continues its disciplined approach to production. This will take time but there is no doubt that the industry is on the right path towards environmentally friendly and economically efficient production.”
red   Copper North Appoints Harlan Meade as President and CEO
    Copper North Mining Corp announces the appointment of Dr. Harlan Meade, Ph. D as President, CEO, and Director.
Dr. Meade is the former President and CEO of Selwyn Resources Ltd. He has a doctorate in geology and a master in business administration. Dr. Meade has more than 30 years' experience in exploration and development in the mining industry. He has played a key role in the discovery and development of several mineral deposits in North and South America. He is member of the Association of Professional Engineers and Geologists of British Columbia and the Society of Economic Geologists.
"We are delighted to welcome Dr. Meade to the management team. His deep experience in advancing and financing projects will be invaluable to Copper North," said Dale Corman, Chairman and Director.
The board of directors of the Company has authorized the issuance of stock options to Dr. Meade to purchase 200,000 common shares of the Company. The stock options will vest over a two year period: with one third vesting on the date of grant, one-third on the first anniversary date and one-third on the second anniversary date. The stock options have a five year term and each option allows the holder to purchase one common share of the Company at a price of $0.08 per share until February 28, 2019.
The Company has entered into a revolving line of credit facility agreement with CIBC (the "Facility"). The Facility has a limit of $50,000 and will bear interest at prime + 2% per year. Dale Corman has provided a guarantee to CIBC for the Facility. Mr. Corman is not receiving compensation for the guarantee. The Facility will be used for general working capital purposes.
red   US Aluminium Recycler to Reprocess Boeing Scrap
    US-based Kaiser Aluminium Corporation and aircraft manufacturer Boeing are to launch a major recycling programme for copper and zinc aluminium. Kaiser plans to recycle up to 10 000 tonnes of copper and zinc aluminium alloys over the next two years.
Waste will be collected from multiple Boeing production facilities, melted at a Kaiser facility in Spokane, Washington State, and turned back into sheet and plate metal for the aerospace industry.
Boeing has previously co-operated with a number of companies in order to reduce waste, and is working for example to establish a way of converting used cooking oil into biofuel. John Byrne, vice-president of Boeing Aircraft Materials and Structures, explains: 'Boeing is focused on reducing the environmental footprint of commercial aviation through the aircraft's life cycle, which includes working with suppliers to increase materials' recyclability and reduce manufacturing waste.’
red   Indian Companies may not Gain from Global Aluminium Rally : Reuters
    Investors note, the recent upswing in aluminium premiums in the US and Europe may not benefit Indian aluminium manufacturers - Hindalco Industries and Nalco - as such premiums have been relatively stable in Asia. Aluminium prices on LME continue to be muted with production exceeding demand coupled with high inventory as reported by Economic Times.
Over the past two months, physical premiums have shot up by 78% to $460/tonne in the US and by 37% to $355/ tonne in Europe. This is contrary to expectations that the premiums would decline, given stringent LME warehousing rules to be implemented from April.
Physical premium is the money paid over the LME aluminium prices to secure physical delivery. There has been a spike in premiums because of severe winter in N America, which squeezed supply as production was halted and material was caught in warehouses.
A recent Reuters report said that aluminium premiums, or the cost to get metal out of storage, soared to all time highs in the US with Europe and Asia close behind as smelters are shut and spare metal is snatched up by traders for collateral in financing deals. The rise in premiums highlights LME's limited ability to cool a market where low interest rates continue to whet appetite for locking up aluminium as a form of investment, the agency said.
This development could be a negative for Novelis, the overseas arm of Hindalco. Although this is temporary, it can impact the current quarter numbers of Novelis, which accounts for more than half of the company's revenues and operating profits.
The company's stock has slipped 18% in the last two months, since premiums have begun to rise. "This will be a negative for the company as Novelis is much bigger than its Indian operations. A lot depends on whether it will be able to pass on the cost to the customers," said Hardik Shah, analyst, KR Choksey, a brokerage firm.
The Hindalco management declined to comment as the company is in a silent period before the earnings announcement. Yet, its Indian operations will not benefit as premiums in Asia have remained stable during this period. That goes for state-owned Nalco too.
red   Anshuman Das Elected as Chairman of CII-Odisha
    Anshuman Das, Chairman-cum-Managing Director of National Aluminium Company Limited (NALCO) has been unanimously elected as the Chairman of Confederation of Indian Industry (CII), Odisha chapter, at its Annual General Meeting, held at Bhubaneswar, today. Shri Das succeeds Shri M.K. Gupta, as the Chairman of the apex body of the Industries.
A Mechanical Engineering from REC, Rourkela (Now National Institute of Technology) Shri Das has done his MBA from University of Hull, U.K, with a British Council Scholarship. Shri Das started his career with the Hindustan Aeronautics Limited and subsequently joined NALCO in 1982 and has worked in various capacities in NALCO. With more than three decades long professional association with the Aluminium Industry, Shri Das is very well known in industry circles.
red   Hindustan Zinc Dips as Disinvestment may happen in Next Fiscal
    Hindustan Zinc has dipped over 3% at Rs 119 on reports that the government is unlikely to complete sale of minority stake in the company during the current fiscal which ends on March 31, 2014 as reported by Business Standard. Disinvestment of government's remaining stake in Hindustan Zinc and Bharat Aluminium (Balco) will happen next fiscal year, the PTI report suggests. The government owns 29.5% of Hindustan Zinc and 49% of Balco. Both the companies are majority owned by London-listed Vedanta Resources Plc. "The decision to divest stakes (in the two companies) stands. However, the process may not be completed this year before March 31. Therefore, we have kept it for the next year (FY15)," Economic Affairs Secretary Arvind Mayaram said in a press conference. The stock opened at Rs 122 and touched a low of Rs 118 on the BSE.
red New Aluminum Continuous Caster Opens in Indiana
    Nanshan America – Advanced Aluminum Technologies, Lafayette, Ind., has begun operations after fast tracking the design and construction of the Nanshan America Lafayette plant. It is fully commissioned and now casting 6xxx alloy log and billet for internal consumption and external sales. “A tremendous amount of long hours and hard work from our dedicated group of technical staff and contractors have gone into the construction of our cast house,” said General Manager Eric Angermeier. “It's a thrill to see it in full operation. We are looking forward to establishing partners for our log and billet products along with continued success in building our extrusion business with our 5K and 9.2K ton presses.”
The green-field aluminum extrusion facility is designed to produce aluminum log and billet in 8, 10, 12, 14, and 18-inch diameters with lengths up to 300 inches. The initial capacity is 300,000,000 pounds of billet and log annually. Operating a 5,000 ton and a 9,200 ton press, the company primarily serves the transportation, electrical, machinery and distribution markets.
red    VSMPO Orders Forging / Ring Rolling Line for Titanium Alloys
    VSMPO-AVISMA from Yekaterinburg, Russia, has placed an order with SMS Meer, Germany, for the supply of a ring rolling line for the production of large OD jet engine rings from titanium alloys. With the new line the Russian company is expanding its product range for the aerospace industry and is thus enhancing its competitiveness. Among other things, VSMPO produces parts for the Airbus A 380 and Boeing 777.
A combined forging / ring rolling process will be employed on the new line for the first time worldwide. This SMS Meer technology will enable VSMPO to produce rings with extremely complex inside and outside profiles. Furthermore, the material consumption is far lower than with the conventional forging process that the company has employed to date.
Commissioning is scheduled for the first quarter of 2015.
red   GRIPM Acquires Majority Stake in Makin Metal Powders
    GRIPM, a Beijing-based electrolytic copper powder producer, has acquired a majority stake in Makin Metal Powders UK Ltd (MMP. The combined group will have production capacity of over 21,000 tonnes per annum providing a wide range of copper and other non-ferrous powders.
MMP's managing director, Dr John Boden, will continue to lead the MMP board of directors and the company will continue to operate independently from its Rochdale, UK facility. It will benefit from the financial backing and specialist scientific capability of GRIPM and access to the GRIPM sales network within China and elsewhere.
GRIPM is the largest supplier of electrolytic powders in China and intends to develop its range of dendritic, atomised and speciality products.
"GRIPM have long admired Makin's expertise, products and professionalism and the two companies will work closely together to meet the growing market demands for copper and copper alloy powders,” said Dr Limin Wang, MD of GRIPM. “It is our intention for GRIPM and Makin to grow to become one of the best and strongest suppliers to the metal powder industry by utilising the extensive R&D and technical capabilities of our parent company GRINM".
"GRIPM are an ideal partner for Makin as they offer complimentary products which will allow the combined companies to build a truly global supplier to the powder metal industry,” said Dr Boden.
GRIPM's parent company, GRINM (General Research Institute for Nonferrous Metals) is the largest research institute in the field of nonferrous metals industry in China employing over 4000 personnel with a turnover of over US$1 billion.
red   First Lightweight Metals Manufacturing Institute in the US by Alcoa
    Alcoa a global leader in lightweight metals engineering and manufacturing, is a founding member of the country's first manufacturing institute focused solely on light metals: the National Lightweight and Modern Metals Innovation Institute in Detroit, Michigan. The institute was formally unveiled by President Obama during an event in Washington recently.
“Lightweight metals are a growing and critical segment of the national manufacturing base. We've seen this most recently through the increased use of aluminum in the automotive industry to produce energy efficient vehicles,” said Alcoa Chairman and CEO Klaus Kleinfeld. “As one of the country's most established leaders in lightweight metals, Alcoa is committed to sharing our expertise to ensure the competitiveness of U.S. industry.”
The goal of the institute is to expand the market for products using new, lightweight, high-performing metals and alloys by removing technological manufacturing barriers. Alcoa's experts at the Alcoa Technical Center (ATC) – the world's largest light metals R&D center, located outside Pittsburgh, Pennsylvania – will work closely with this new institute and focus on developing technologies impacting the future of key industries, including automotive, aerospace, defense, consumer products, and maritime sectors. “Public-private partnerships are essential to advancing the competitiveness of U.S. manufacturing,” said Dr. Raymond Kilmer, Alcoa's Executive Vice President and Chief Technology Officer. “Bringing new innovations to market faster – while creating meaningful jobs in advanced manufacturing – is vitally important and Alcoa is proud to have the opportunity to participate in this new institute.”
Alcoa will serve on the board of the new institute and is one of 60 founding members, including the University of Michigan, Boeing, General Electric, Honda North America and Lockheed Martin.
red   Nickel benefits from Indonesia Export Ban
    Nickel has risen to its highest level in nine months on signs that Indonesia's export ban on unprocessed mineral ore is starting to bite and affect Chinese stockpiles as reported by Financial times.
Nickel, which is used to make stainless steel, is the best performing base metal on the London Metal Exchange this year. It has advanced by more than 8 per cent, outpacing zinc (up 2.1 per cent), copper (down 4.5 per cent) and aluminium (off 1.9 per cent), helped by the new export rules in Indonesia, the world's biggest supplier of nickel ore.
The industrial metal made further gains on Wednesday, climbing to its highest level since June 2013 as the market picked up on comments made by Tsingshan, China's largest stainless steel and nickel pig iron producer. Nickel for delivery in three months on the LME rose 0.2 per cent to $15,165 a tonne.
“Tsingshan reported that nickel ore prices are 'going crazy' following the ban and that smaller Chinese nickel pig iron and stainless producers were unprepared for the ban,” analysts at Macquarie said in a report. “Tsingshan thinks any change in Indonesian government policy is unlikely before end-2014, and even if there was a change export taxes would be very high.”
Indonesia's export ban is viewed by many as a potential game-changer for the nickel industry, which has been plagued by oversupply and high inventories. At current prices, around 30 per cent of global nickel production is reckoned to be underwater on a cash cost basis.
“Indonesia's ore export ban and the likelihood of enforcement have potentially transformed nickel's outlook,” Glencore Xstrata said in an annual results presentation published on Tuesday. “ A continued export ban post presidential elections will balance the market in 2014 followed by a significant deficit in 2015.”
red   Global Zinc Player Emerges in Alaska
    With a slowly improving global economy and a banner year for automobile sales anticipated, the demand for zinc shows no sign of slowing: Quite the contrary. Supply is the issue.
Couple that with the fact that three large zinc mines with pending closures, Vendanta Resources' Skorpion and Lisheen Mines and MMG's Centaury and nearly 7% of global supply is or will soon be gone.
Zazu Metals released their Preliminary Economic Assessment on their JV property with Teck Resources this week. The PEA on their Lik zinc, lead and silver Deposit in NW Alaska shows robust economics at the current zinc spot price, and substantial leverage to even a small rise in the metal.
Matthew Ford president of Zazu Metals said that "Lik's sensitivity to zinc price is impressive. Consensus is forming for higher zinc prices due to expected supply constrictions. For every 10 cent move, the pre tax NPV increases by around USD 100 million. There are few assets globally that are Lik's equivalent. And fewer still with a reasonable shot at going into production to meet the expected supply shortfall.”
Ford said that "As modeled, Lik South would have average annual production of 234,000 dry tonnes of zinc concentrate and 55,800 dry tonnes of lead concentrate. In total, 17.1 million tonnes of ore milled at an average grade of 7.7% zinc, 2.6% lead and 47 gram per tonne silver are expected from the Lik South open pit. This would rank Lik South as one of the largest producers of zinc concentrate and one of the largest zinc mines globally.”
red   UAE Aluminium Sector Backs Syria Refugees
    The UAE Red Crescent collected five tonnes of clothing and food donated by employees of Dubai Aluminium (Dubal) and Emirates Aluminium (Emal) to refugees in Syria.
The UAE's two primary aluminium producers will be integrated into Emirates Global Aluminium (EGA), the jointly-owned, UAE based conglomerate to be formed by Mubadala Development Corporation and Investment Corporation of Dubai.
The donation was in response to a call by the two flagship companies to help alleviate the impact on families and children struggling with displacement from their homes and harsh winter weather.
The appeal reflected the company's position as a caring corporate citizen. In partnership with the UAE Red Crescent, the call went out for blankets, jackets, towels and non-perishable food items, which could prove to be life-saving for those experiencing very difficult conditions.
Employers swiftly answered the call and the donations were weighed at Dubal's weighbridge before being delivered to the Red Crescent charity for dispersal amongst the Syrian refugees as per Trade Arabia News Service. Mr Khalid Essa Buhumaid official spokesperson said that “As a company we have a responsibility and a duty of care to support those less well-off and make a difference in their lives. Moved by the plight and suffering of the refugees in Syria, the employees of the UAE's aluminium industry responded swiftly and with great generosity, confirming that our corporate culture of care extends across our workforce.”
red   Glencore to Study BHP Australian Nickel Assets, CEO Says
    Glencore Xstrata Plc (GLEN), the global commodity trader and metals producer run by billionaire Ivan Glasenberg, said it will study the sale of BHP Billiton Ltd.'s Australian nickel assets.
“It's on the market, it's clear it's on the market,” Glasenberg said today in a phone interview from London. “We will kick the tires. It's something that would make sense, but it is an asset that's had its problems.”
BHP has booked impairment charges on the Nickel West assets of almost $1.6 billion over the past two fiscal years, after prices for the metal declined. Glencore's Minara unit controls the Murrin Murrin nickel mining and refining project.
“It's something that would make sense with Minara being close by,” Glasenberg, who is chief executive officer of Baar, Switzerland-based Glencore, said today. “We do buy certain products from them.”
A spokeswoman for BHP in London declined to comment.
Glencore today announced a $454 million impairment charge on the Murrin Murrin assets in the north eastern Goldfields of Western Australia.
BHP's Nickel West operations in Western Australia produced 103,300 metric tons of the metal in fiscal 2013. The assets include the Mount Keith open-cut nickel mine and concentrator, two underground mines and a concentrator at Leinster, nickel concentrate and smelting plants at Kalgoorlie and the Kwinana site, which produces nickel briquettes and powder
red   Copper Posts Biggest Decline Since 2011 on China Demand Concern
    Copper futures in New York capped the biggest loss in more than two years as China's first onshore default stoked concern that rising debt will curb demand in the Asian nation, the world's largest consumer as reported by Bloomberg.
Mr Qiu Xinhong, a bond fund manager in Guangzhou at Golden Eagle Asset Management Company said that “After Shanghai Chaori Solar Energy Science & Technology Company failed to pay full interest on its bonds, more defaults may follow, including by makers of nonferrous metals. Copper stockpiles monitored by the Shanghai Futures Exchange have climbed for eight straight weeks, the longest streak in two years adding to signs of slowing use.”
Mr Tom Power senior market strategist at RJO Futures in Chicago said that “You have a lot of fear in the market right now. The potential for more default is really what's pushing the market. The market seems to be poised for another move lower.”
red   Vedanta to Upgrade Zinc Refinery at Namibia Mine
    Vedanta Resources Plc, which controls the world's second-largest producer of mined zinc, plans to upgrade a refinery for the metal at its Skorpion complex in Namibia.
The work will allow Vedanta to treat both zinc-oxide and zinc-sulfide deposits and enable it to extend operations at the Skorpion mine beyond 2017, the mine's Managing Director Satish Kumar said today, declining to specify the cost of the upgrade.
Consumption of zinc, used to rust-proof steel, is growing in Asian emerging markets as vehicle manufacturing expands. Demand for the metal is forecast to rise at least 5 percent a year in 2014 and 2015, BNP Paribas SA said this month. That may push prices higher, while straining mine and smelter capacity.
“The refinery conversion project will ensure the continued existence of Skorpion zinc,” the mine's management said in a report. The mine was originally scheduled to close in three years' time, following the depletion of the ore body.
Construction at the refinery will take as long as two years. The work will also allow the plant to process material from a planned mine at the Gergarub deposit, next to Skorpion.
A bankable feasibility study is under way at Gergarub, which is due to be developed jointly with the Rosh Pinah mine, run by Glencore Xstrata Plc, the world's largest mined-zinc producer. Skorpion said it plans to apply for a mining license at Gergarub by the end of the year.
The converted refinery will also be able to handle ore from Vedanta's planned Gamsberg zinc mine in South Africa's Northern Cape province, Skorpion's management said
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