Nalco output up by 69% in October,significant gain due to higher prices expected.
nalcoindia.com
25-11-1999 16:51:12
Nalco's production during October touched 18,433 ton, an increase of 69% yoy. The company operated at a utilization rate of 96% during the month as compared to a utilization rate of 56% in October 98. Smelter related problems affected production during the previous year and therefore the robust growth in production was mainly on account of the low base of the previous year . The company is likely to end the year with an output of 210,000 ton as compared to 146,000 ton in FY99.
Nalco has also given a thrust to exports of primary metal during this year, taking advantage of higher international aluminum prices. Nalco exported 47,787 ton of primary metal during April-October and has already surpassed the exports of 39,867 ton of the previous year. At the current rate, the company is expected to export nearly 70,000 ton of metal in FY2000.
The company is likely to export lower quantities of alumina this year as compared to FY99 as higher amount of alumina this year would be diverted towards metal production. During April-October alumina exports touched 271,148 ton and we expect the company to export around 465,000 ton of alumina during FY2000. This would be 24% lower than 610,940 ton exported during FY99.
On the financial front, the company is likely to gain significantly from the higher alumina and aluminum prices. It has already increased the prices of aluminum ingots in July and in October, taking advantage of the rising LME prices. Moreover on account of a global shortage of alumina, exports of the latter have been contracted at higher prices. (probity) |
