Panama president sees no environmental threat from copper at closed First Quantum mine
Environmentalists as well as mining companies had raised concerns over risks from leaving the copper on site.
Production of bauxite, the major source of aluminum, is accelerating steadily according to the latest reports. Strong project pipelines in Australia and India are the main growth catalyst, with 5 of Australia’s bauxite mines currently providing over a quarter of global supply.
Rio Tinto posted a 3.9% output increase from its bauxite operations in Australia for Q1 of this year. The mining corporation has stepped up production from it Gove and Weipa mines and will begin work on its US$1.9 billion Amrun Project at the start of 2017. Australia is predicted to remain the dominant bauxite exporter to China over the coming years with Guinea also emerging as a key supplier; bolstered by high grade reserves and a growing pipeline of projects.
China’s domestic bauxite production is expected to stay sluggish over the coming years, due to weak prices and a decline in the quality of its reserves. According to BMI Research data, the country is projected to account for 55.7% of global aluminum supply in 2016, but only 23.3% of bauxite production, fuelling an increase in imports and a rush of investments in overseas mining projects. In the past decade China’s bauxite imports have jumped from 2.2 million to 50 million tonnes annually, leading experts to predict a decade long boom for the commodity.
The autos industry has driven global appetite for aluminum over the past year, despite fears that increased production from China will saturate the market. Aluminum use in car body structures is expected to reach 75% by 2025, with the US market’s growing sales of pickup trucks boosting production demands. But smelters in both China and the US were shut down last year after prices for the lightweight metal dropped to their lowest levels since 2009. As production margins continue to make a steady recovery through 2016, China has once again started to step up its exports, dragging aluminum prices back down from 6 week highs on Monday.
India’s bauxite production has typically remained in line with aluminum output and is expected to increase this year on the back of domestic demand. Analysts are expecting an annual growth rate of 17.7% in bauxite production through 2020, a dramatic increase from the previous five years. India is forecast to generate 8.2% of global output this year, but investors remain tentative over the impact of pending environmental restrictions and recent clashes with local activists.
Malaysia’s ban on bauxite mining in the country is expected to be relaxed by September 2016, according to analysts. The country’s position as one of China’s main exporters in recent years quickly took an environmental toll, resulting in government restrictions to curb production back in January. Malaysian ministers emphasized a critical need to control the environmental impact and regulation of previous bauxite mining projects before the ban could be lifted.
The Indonesian government is also working to revise its exports ban on the mineral ore by the end of the year. The country is expected to ramp up production domestically, with an annual increase of around 148% by 2020. China’s Hongqiao Group has invested heavily in a new Indonesian smelter facility, which is projected to reach capacity by 2017, driving significant growth and output.
Comments
Altaf
This article brings a refreshing change in this website which is overloaded with Iron ore and coal articles for a long time.
India is a strange case in global Bauxite / Alumina / Aluminum industry.
Though it is a major producer / consumer of Aluminum, it manages with domestic production thereby having a negligible effect on global trade. Only in recent times it is importing Bauxite / Alumina. That too because of even stranger circumstances.
Vedanta group has set up an integrated Aluminum plant on east coast of India with the plan to mine nearby Bauxite mines. Govt has no proactive approach. When locals objected, govt has cancelled mining license after Vedanta set up the plant costing billions. Such is the reactive approach.
The joke does not end here. Nalco, a Govt public sector unit which mines and exports Bauxite and also Alumina was approached by Vedanta to supply the same Alumina to its plant so that it can process it into Aluminum. Nalco rejected the request on the grounds that Vedanta is its competitor.
So Nalco exports Alumina from a port and Vedanta imports Alumina from the same port.
No remorse in either the govt company or government. In the mean time India bleeds.