Glencore, Russia Metals and Mining
The Chinese Shandong Gold Mining Co was the main contender for the purchase of gold deposit Vasilkovskoe from Glencore in Kazakhstan, Bloomberg reports, citing sources.
Commission of the Federal Antimonopoly Service (FAS) deferred consideration of the case against UC Rusal for a more detailed study of materials until December 24.
The case on the grounds of violation of the Federal Law "On Protection of Competition" was opened on October 9 on the basis of the statement of the "Magnitogorsk Iron and Steel Works" (MMK).
The performance of the company was better than the consensus forecast composed by RIA Novosti according to a survey of analysts, who had expected EBITDA at $ 1.19 billion.
In H1 2015 "UC Rusal" increased EBITDA under IFRS by 3.3 times to $ 1.289 billion compared with the same period last year, the message of the company informs.
The result was better than the consensus forecast compiled by RIA Novosti according to the survey of analysts who had expected EBITDA at $1.19 billion. The revenue increased by 8.3% to $ 4.75 billion, also better than analysts' expectations, who predicted the figure of $ 4.714 billion.
The net profit of "UC Rusal" in the reporting period amounted to $879 million against losses of $ 209 million dollars a year earlier, the adjusted net profit - $ 415 million against a loss of $ 395 million, the normalized net profit - $ 830 million compared to a loss of $ 40 million a year earlier. The net debt for the period decreased by 9.4% as of June 30th amounted to $8.005 billion.
Rusal has announced of its loss of $91 mln on the results of correction of 2014 taking into account the recently published report of GMK.
In February 2015 Rusal published its report under IAS for 2014 according to which for the first time it made a net profit of $293 mln against the loss of $3.3 bln in 2013.
Rusal expected a $899 mln profit from a 27.8% package in Norilsk Nickel but as a result the stake of Rusal in Norilsk Nickel’s profit turned out to be by 435 less - $515 mln.
Finally Rusal reported of a net loss of $91 mln in 2014 instead of the previously announced net profit of $293 mln. Norilsk Nickel previously announced of a record high profit and dividends for 2014.
On April 10th the Board of Norilsk Nickel announced of its recommendation to the annual meeting of shareholders to approve the final dividends-2014 at the volume of 670.04 roubles/ share additionally to the dividends over 9 months at the amount of 762.34 roubles.
Structures, controlled by Oleg Deripaska, have began to sort things out in court: Krasnoyarsk aluminum plant of US Rusal filled suit against Krasnoyarsk hydroelectric power station Evrosibenergo" The plant requires to reimburse 3.6 billion rubles of damage, caused by the termination of electricity supply under a bilateral agreement. The situation was brought to a court by a minority shareholder of UC Rusal - Sual of Viktor Vekselberg, who managed to pass the decision on filing a claim through the company’s Board of Directors. Under contracts with the hydroelectric power station the electricity cost the UC Rusal’s plant much cheaper, but after a sharp rise in energy prices in Siberia it becomes more and more profitable for Evrosibenergo to sell energy on the wholesale market.
On March 11, Rusal Krasnoyarsk aluminum plant (KrAZ, a part of UC Rusal, 48.13% owned by En + of Oleg Deripaska) submitted a lawsuit against Krasnoyarsk hydroelectric power station (88.9% are in En +’s Evrosibenergo) to the Commercial court of the Krasnoyarsk region, UC Rusal reported yesterday. According to the report, from October 2014, the hydroelectric power station didn’t comply fully obligations to deliver electricity and capacity to KrAZ under the bilateral agreement, signed in 2009 for a period of till 2020. Since mid-September, the station reduced the supplies to 35-37% of the required level, and since October it stopped them. KrAZ requires to compensate the damages in the amount of 3.64 billion rubles and to force the station to fulfill obligations. The plant also filed an application for interim measures, but their nature is not explained.
UC Rusal intends to appeal the nationalization of the Zaporozhie aluminum plant in international courts, the company’s spokesman reported.
"The company is a bona fide purchaser. We will appeal this decision in international courts," - he said.
Earlier on Thursday, the General Prosecutor’s Office of the Ukraine reported that the Ukraine's Supreme Court decided to nationalize the controlling stake in Zaporozhie aluminum plant, owned by Russian UC Rusal.
The largest Russian aluminum company UC Rusal has no plans to close its alumina refinery in Ukrainian Nikolayev, though it thinks that the asset is one of the most inefficient, president of UC Rusal Oleg Deripaska reported.
"We have a plant of about the same capacity in Ireland and we buy gas for it at the price of $200 (per thousand cubic meters), in Nikolaev - for $340. This makes its products the most expensive in the system (of UC Rusal),"- said Deripaska.
Russian aluminum company UC Rusal and the Jamaican Government have agreed to resume the work of local bauxite and alumina complex Alpart. They talk about an increase of bauxite mining at Alpart (this ore is the main source for the production of alumina and subsequently aluminum) from January 2015 and the resumption of alumina production by December 1, 2016. In addition, the parties agreed to modernize a seaport (starting this month), repair of corresponding roads and construction of a gas turbine cogeneration plant with capacity of 140 MW by UC Rusal – these projects will be implemented in the next year. The total investment could reach about $400 million, Minister of Science, Technology, Energy and Mining Industry Philip Powell announced at the press conference in Kingston Jamaican.
UC Rusal entered the capital of Alpart in 2004, by 2011 it increased its stake to 100%, spent more than $300 million; because of falling prices for bauxite the plant’s activity was suspended in 2009. In addition to Alpart, UC Rusal has one more enterprise in Jamaica - Windalco (with two plants - Ewarton and Kirkvine Works), 100% of the shares of which the Russian company consolidated in December 2014. Windalco produces, in particular, the sixth of UC Rusal’s bauxite: thus, over the past year UC Rusal produced 12.1 million tons of bauxite and 7.25 million tons of alumina, and Windalco – 1.903 million tons of bauxite and 559 thousand tons alumina of them.
Is "Talco" ready to "roll"?
The largest aluminum plant in Tajikistan "Talco" has signed an agreement with Glencore International and Talco Management Limited on the commissioning of 200 aluminum smelting furnaces.
The State Company "Talco", Glencore International and Talco Management Limited have agreed to resume work on 200 aluminum smelting furnaces. A source in "Talco" told Radio Ozodi that the agreement had been signed on October 15, 2014.
The Swiss company Glencore International will begin work in the winter, and by the summer of 2015 the furnace will be launched.
UC Rusal can cease aluminum sales in the Ukraine via ZAlK-AKZ and can introduce direct supplies from Russia for the Ukrainian consumersEdited by Rhod Mackenzie / 2014-11-26 02:56:31
UC Rusal can cease the sales of aluminum made in Russia and aluminum rolled wire via its subsidiaries Zaporozhye Production Aluminum Combine (ZAlK) and Aluminum Rolled Wire of Zaporozhye (AKZ), and can start supplies of the products under the direct contracts between the Russian structures and the Ukrainian consumers. The final decision is not admitted as yet. After closure of crude aluminum supplies to ZAlK and aluminum rolled wire production in July, they sold these products from Russia, mostly via AKZ founded recently. The monthly sales are 1,500 tons of aluminum.