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Cost of Making Aluminium

Cost of Making Aluminium. Feb 12, 2007. Alumina cost. In 2006, the average cost was $515/tonne http://fxtrade.oanda.com/resources/ubsnews/newscontent/131625.shtml

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Cost of Making Aluminium

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  1. Cost of Making Aluminium Feb 12, 2007

  2. Alumina cost • In 2006, the average cost was $515/tonne • http://fxtrade.oanda.com/resources/ubsnews/newscontent/131625.shtml • 2006 USGS PDF: Events, Trends, and Issues: Increased demand and limited supply caused spot prices for metallurgical-grade alumina, as published by Metal Bulletin, to rise dramatically by the end of the third quarter. The published price range began the year at $390 to $420 per ton of alumina. By the middle of March, the price range had increased to $440 to $460 per ton. The price range then began a downward slide that lasted through early August to a range of $400 to $420 per ton, before rebounding to $470 to $500 per ton at the end of September

  3. Alumina Cost con’d • 2007 USGS PDF: Events, Trends, and Issues: Increased supply caused spot prices for metallurgical-grade alumina, as published by • Metal Bulletin, to decrease dramatically by the end of the third quarter. The published price range began the year at • $580 to $590 per ton of alumina. By the end of April, the price range had peaked at $620 to $635 per ton. The price • range then began a dramatic downward slide that lasted through mid-October to a range of $240 to $290 per ton.

  4. Need two tons of Alumina • For a ton of Al • Thus $1030 for the Alumina

  5. Cost of Electricity • In the last 50 years, the average amount of electricity needed to make a pound of aluminum has been slashed from 12 kilowatt hours to about 7 kilowatt hours. • http://www.aluminum.org/template.cfm?Section=The_Industry 2004

  6. Using 7 kwh per pound of Al • A metric ton is 1000 kg which is about 22000 pounds—thus • 7 * 22000 = 15400 kwh • If 1 kwh costs $0.06, then this is $924/ton • Plus the cost of alumina = $1934 • Not including transportation and other costs

  7. http://www.lme.co.uk/aluminium.asp • LME Official Prices (US$/tonne) for 13 Feb 2007 LME Official Opening Stock (in tonnes) ALUMINIUM CASH BUYER   2,828.00    CASH SELLER &  SETTLEMENT    2,830.00    3-MONTHS BUYER   2,759.00    3-MONTHS SELLER   2,759.50    15-MONTHS BUYER   2,567.00    15-MONTHS SELLER   2,572.00    27-MONTHS BUYER   2,397.00    27-MONTHS SELLER   2,402.00    

  8. http://www.kitcometals.com/

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