Structure of the Chrome Alloys Consortium....a who's who/who matters..
November ICDA news.
| Chromium Ore and Ferrochromium Production |
Baosteel inks ferrochromium deal with India’s Facor Group
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| Baosteel Resources Co, a subsidiary of China’s Baosteel Group, has signed a long-term agreement with India’s Ferro Alloys Corp (Facor) to supply it with 2 kt/month of high-carbon ferrochromium for a year. The agreement will help Baosteel to stabilise and control its supply of raw materials for stainless steel production. Neither company was available for further comment. SBB Daily Briefing, Stainless Edition, 19 November 2009, 23 November 2009. |
Eti Krom restarts a ferrochromium furnace in Sweden
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| Eti Krom has restarted one of the idled furnaces at its Vargön Alloys plant in Sweden. The furnace will operate at 50% of capacity, bringing Vargön Alloys to 20% of its total operating capacity of 230 kt/y. SBB Daily Briefing, Stainless Edition, 20 November 2009. |
Assmang shuts ferrochromium furnace for rebuild
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| Assmang has shut down the Number 5 ferrochromium furnace at its Machadodorp smelter in South Africa for refurbishing. The furnace will be down for at least three months while it is being rebuilt and will only be brought back into production once demand improves. The furnace has a production capacity of 40-45 kt/y of ferrochromium. Metal Bulletin Daily, 23 November 2009, p 3; SBB Daily Briefing, Stainless Edition, 20 November 2009. |
Eti Krom cuts ferrochromium output to 50%
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| Eti Krom has cut ferrochromium production from 80% to 50% of capacity due to oversupply in the market. Demand remains weak and the cost of production continues to rise. Eti Krom will focus on its long-term buyers while gradually withdrawing from the spot market. Metal Bulletin Daily, 23 November 2009, p 3. |
ENRC could produce 440 kt more ferrochromium by 2012
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| Eurasian Natural Resources Corp (ENRC) is to replace all the furnaces at its Aktobe plant, part of the company’s Kazchrome operations, and build an additional 170 kt/y of capacity. However, the expanded capacity could rise to 440 kt/y if the company feels that the market needs the extra supply. The increase of 170 kt/y will bring ENRC’s total capacity to over 1.3 Mt/y. Metal Bulletin Daily, 24 November 2009, p 3. |
India chromium ore exports pick up after $70 price cut
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| Almost 100 kt of Indian chromium ore is ready for export after MMTC slashed $70/t from the fob export price of chromium ore and concentrate at the beginning of the month. The export price on a 50% Cr2O3 basis is now $265/t for chromium ore and $260/t for chromium concentrate. The base export price will remain valid until the end of the year. MMTC is likely to convene a meeting soon to fix new prices for 2010. Metal Bulletin Daily, 24 November 2009, p 3. |
China’s ferrochromium and chromium ore imports fall sharply in October
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| China imported 9% less chromium ore and 24% less ferrochromium in October as a result of weaker domestic demand. Imports for November are likely to be even lower because of the high levels of inventory in the country. Metal Bulletin Daily, 24 November 2009, p 3. |
Cliffs will buy “Ring of Fire” chromite deposits
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| Cliffs Natural Resources will buy the “Ring of Fire” chromite deposits from Freewest Resources Canada. Cliffs will acquire interests in three chromite deposits, Black Thor (100%), Black Label (100%) and Big Daddy (50%), located in northern Ontario province. The three deposits will form the basis of North America’s only ferrochromium operation. The planned mine is expected to produce 1-2 Mt/y of high-grade chromite ore, which will be processed into 400-800 kt/y of ferrochromium. The development will include an open-pit mine and mine-site processing facility and a remote electric arc furnace to further process the ore into high-grade ferrochromium. Production is expected to start some time in 2015. The deal is subject to approval by Freewest shareholders and court approval. Metal Bulletin Daily, 24 November 2009, p 3; press release from Cliffs Natural Resources forwarded by ICDA Secretariat. |
Higher South African power costs seen pushing up ferrochromium prices
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| Eurasian Natural Resources Corp (ENRC) marketing director, Mark Midgley, says the anticipated price increases for electricity in South Africa are likely to see the benchmark price of ferrochromium rise over the next few years. Growth in ferrochromium production in South Africa could be limited over the next four years due to capital expenditure issues, which include power costs. Power costs in South Africa have increased by 31% in 2009 and are expected to rise by 45% over the next three years. South African ferrochromium producers will have difficulty in increasing their production to meet the growing Asian market. ENRC’ low-cost ferrochromium production in Kazakhstan stands to benefit from these power constraints. SBB Daily Briefing, Stainless Edition, 25 November 2009. |
