U.S. Gulf: Sources continued to call the Gulf import market in a range of $35-$45/mt CFR, tracing the numbers back to northwestern Europe smelters reportedly commanding a range of (-)$5-$5/mt FOB.
Most European business was called in the $0-$5/mt FOB range, with a smattering of deals reportedly dipping into negative netbacks. “There are spot opportunities everywhere,” said one market player.
Acid to Brazil was called $35-$45/mt CFR, unchanged from the week before. The price at Chile was expected to run $45-$60/mt CFR, also flat from the previous week.
Alcoa Inc.’s Portland, Ore., smelter is the latest U.S. aluminum smelter to face potential closure, according to reports. Faced with tumbling aluminum prices and an expected $50-$90 million annual increase in electricity costs, the facility could be on track to post losses totaling $100 million in 2017, sources said.
The smelter has already undergone production cuts, and Alcoa documents filed in January listed the facility as “idled.” Alcoa has closed or sold 14 plants since 2007.
London Metal Exchange prices were mixed at the Feb. 24 close of trading. Aluminum, copper, nickel, and zinc were higher for the week, but lead was down.
Aluminum rose to $1,552.00/mt from $1,520.00/mt a week earlier, and copper was logged at $4,585.50/mt, an increase from $4,562.00/mt in the previous report.
Lead was $1,689.50/mt, a drop from $1,750.00/mt at last check, and nickel closed the day a $8,520.00/mt, up from $8,240.00/mt the week before. Zinc was up as well, showing $1,727.00/mt versus $1,664.00/mt a week earlier.