Global Bauxite Production to Grow: Fitch
The Assay - Mining investment news, insights and company profiles
Mining investment news, insights and company profiles
No Result
View All Result
Subscribe
  • Home
  • News
    • All News
    • Gold
    • Silver
    • Copper
    • Nickel
    • Lithium
    • Precious Metals
    • Base Metals
    • Battery Metals
    • Exploration
    • Development
    • Production
  • Articles
  • Africa Insights
  • Videos
    • CEO Interviews
    • Investor Discussions
  • Company Profiles
  • Magazine
  • Webinars
  • Newsletter
  • About
    • About Us
    • Our Team
    • Contact Us
    • Events
    • Partners
The Assay - Mining investment news, insights and company profiles
  • Home
  • News
    • All News
    • Gold
    • Silver
    • Copper
    • Nickel
    • Lithium
    • Precious Metals
    • Base Metals
    • Battery Metals
    • Exploration
    • Development
    • Production
  • Articles
  • Africa Insights
  • Videos
    • CEO Interviews
    • Investor Discussions
  • Company Profiles
  • Magazine
  • Webinars
  • Newsletter
  • About
    • About Us
    • Our Team
    • Contact Us
    • Events
    • Partners
No Result
View All Result
Subscribe
The Assay - Mining investment news, insights and company profiles
No Result
View All Result
Home Articles

Global Bauxite Production to Grow: Fitch

By Valentina Ruiz Leotaud, MINING.com

byThe Assay
4 years ago
Reading Time: 3 mins read
Global Bauxite Production to Grow: Fitch

Fitch Solutions Macro Research just published an update to a previous study looking at the global bauxite market. In the most recent version of the document, the firm states that bauxite production growth will remain high over the coming years, as new projects come online in Australia, Indonesia expands exports, India’s production ramps up, and existing projects in Guinea drive growth.

According to Fitch, Australia, the world’s top producer of the orange metal, will maintain steady output growth driven by steady activity at the about 40 projects it hosts.

In particular, the market researcher states that the growth would be boosted by Rio Tinto’s expansion of the Weipa mine in Queensland, which together with the Gove mine drove 2017’s y-o-y 6-per-cent increase in bauxite production for the company, reaching 50.8mnt.

On top of those highly productive assets, Rio is developing its $1.9-billion Amrun project, which is expected to extend mining activities on part of the miner’s existing lease south of the Embley River, between Weipa and Aurukun. Amrun should start operating in 2019 and have an initial capacity of 22.8 million tonnes per year.

Global Bauxite Production to Grow: Fitch

Another main driver of growth Down Under, says Fitch, is the soon-to-be-operative Urquhart bauxite project in North Queensland. It is operated by Metallica Minerals, who already received a mining lease from the state government.

Looking at Indonesia, the market research firm estimates that following the relaxation of the mineral ore export ban in the Asian country, bauxite production will ramp up over the next decade. The assertion is based on the fact that the bauxite exports reached 2.6mnt in the period between January 2017 and March 31, 2018.

In Fitch’s view, Indonesia’s brighter outlook is also a result of the government’s decision to allow PT Dinamika Sejahtera Mandiri to export 2.4mnt of bauxite in 2017. Giving PT Laman Mining an export quota of 2.9mnt also boosted last year’s production outcomes.

“The country is starting to reclaim its share of bauxite exports to China, supported by closer proximity and lower-cost production than Australian or Guinean mines. We forecast Indonesia’s bauxite production growth to register an annual average of 12.9% during 2018-2027, compared with 72.6% over the previous ten-year period. We expect output to increase from 5.4mnt in 2018 to 11.4mnt by 2027,” the report reads.

In India, on the other hand, not exports but the domestic market is the one pushing for increased bauxite production, which is expected to grow from 30.9mnt in 2018 to 50.7mnt by 2027.

Fitch’s document states that the hike is supported by new government policy, such as the decision of the Odisha state cabinet to approve long-term bauxite linkage policy that would help alumina refineries, such as Vedanta’s Lanjigarh, source bauxite from the state-owned Odisha Mining Corporation.

Also, output is expected to rise because out of 71 major mineral blocks that will be auctioned by the Indian government in coming years, bauxite accounts for three blocks in Gujarat, one block in Jharkhand, and four blocks in Maharashtra.

Global Bauxite Production to Grow: Fitch

But the South Asian giant’s forecast is not as straightforward as it looks. “Despite this positive outlook for India’s bauxite mining sector, tightening environmental regulations and tribal tensions pose downside risks, by slowing down new projects,” the study suggests.

When it comes to Guinea, a country that holds the second largest amount of new bauxite projects behind Australia, Fitch believes that output will climb from 53.3mnt in 2018 to 78.2mnt by 2027.

The West African country’s project pipeline is the main driver of the growth. Leading projects are that of France’s Alliance Minière Responsable and the Société Minière de Boke, which aims at exploiting a deposit that contains an estimated 430 million tonnes of bauxite near the Boke region, as well as Alufer Mining’s Bel Air project which is expected to produce 5.5mnt of bauxite per year and ramp up to 10mnt per year over a 15-year period.

 

TweetShareSend
Previous Post

Australian Research Independent Investment Research – Hill End Gold Limited (ASX: HEG)

Next Post

Australian Research Independent Investment Research – Middle Island Resources (ASX: MDI)

Related Posts

Trek To Acquire Strategic Pilbara Base Metal Exploration Tenement
News

Trek To Acquire Strategic Pilbara Base Metal Exploration Tenement

byColin Sandell-Hay, Contributor - The Assay
17 May, 2022
Hot Chili Commences Trading On US-Based OTCQX Market
News

Hot Chili Files NI 43-101 Technical Report For Costa Fuego

byColin Sandell-Hay, Contributor - The Assay
17 May, 2022
Steppe Gold Resumes Gold And Silver Production In Mongolia
News

Steppe Gold Announces Positive Q1 2022 Financial Results

byColin Sandell-Hay, Contributor - The Assay
17 May, 2022
Carnavale Confirms The Scale Of New Ora Banda Prospects
News

Carnavale Confirms The Scale Of New Ora Banda Prospects

byColin Sandell-Hay, Contributor - The Assay
17 May, 2022
Indiana Identifies New Central Gawler Gold Project Targets
News

Indiana Identifies New Central Gawler Gold Project Targets

byColin Sandell-Hay, Contributor - The Assay
17 May, 2022
Catalyst Hits Up To 831 g/t Au At Lawry Prospect
News

Catalyst Hits Up To 831 g/t Au At Lawry Prospect

byColin Sandell-Hay, Contributor - The Assay
17 May, 2022
Next Post
Australian Research Independent Investment Research – Middle Island Resources (ASX: MDI)

Australian Research Independent Investment Research - Middle Island Resources (ASX: MDI)

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Upcoming events

23May

121 Mining Investment London – 23-24 May

London
06Jun

121 Mining Investment New York – 6-7 June

New York
No event found!

Popular

  • The Assay Guide to Palladium vs Platinum

    The Assay Guide to Palladium vs Platinum

    0 shares
    Share 0 Tweet 0
  • Mining Rebounding in the Land of the Giants

    0 shares
    Share 0 Tweet 0
  • Domestic Rare Earths Industries: Closing the Gaps in Supply and Supply Chains

    0 shares
    Share 0 Tweet 0
  • Cobalt: The ‘Blue’ Metal Forecast to Help Green the Planet

    0 shares
    Share 0 Tweet 0
  • The Assay TV – David Grondin, President & CEO, TomaGold (TSXV:LOT) – 21/2/2022

    0 shares
    Share 0 Tweet 0
  • Progressing Mining in the Arabian-Nubian Shield

    0 shares
    Share 0 Tweet 0
  • South Africa Enters New Resources ‘Boom’

    0 shares
    Share 0 Tweet 0
  • Home
  • News
  • Articles
  • Investor Discussions
  • CEO Interviews
  • Company Profiles
  • Newsletter
  • Magazine
  • About Us
  • Our Team
  • Contact Us
Part of Hyve Group Plc

Please note: This Web site and The Assay magazine and the information and materials on this Web site and in The Assay magazine are not, and should not be construed as, an offer to buy or sell, or as a solicitation of an offer to buy or sell, any regulated products, securities or investments. This Web site and The Assay Magazine do not, and should not be construed as acting to, sponsor, advocate, endorse or promote any regulated products, securities or investments. This Web site and The Assay magazine and the information and materials on this Web site and in The Assay magazine do not, and shall not be construed as, making any recommendation or providing any investment or other advice with respect to the purchase, sale or other disposition of any regulated products, securities or investments, including, without limitation, any advice to the effect that any mining or metals related transaction is appropriate or suitable for any investment objective or financial situation of a prospective investor. A decision to invest in any regulated products, securities or investments should not be made in reliance on any of the information or materials on this Web site or in The Assay magazine. Before making any investment decision, prospective investors should seek advice from appropriately qualified and licensed financial, legal, tax and accounting advisers, take into account their individual financial needs and circumstances and carefully consider the risks associated with such investment decision.

Privacy Policy

© 2021 The Assay

No Result
View All Result
  • Home
  • News
    • All News
    • Gold
    • Silver
    • Copper
    • Nickel
    • Lithium
    • Precious Metals
    • Base Metals
    • Battery Metals
    • Exploration
    • Development
    • Production
  • Articles
  • Africa Insights
  • Videos
    • CEO Interviews
    • Investor Discussions
  • Company Profiles
  • Magazine
  • Webinars
  • Newsletter
  • About
    • About Us
    • Our Team
    • Contact Us
    • Events
    • Partners

Please note: This Web site and The Assay magazine and the information and materials on this Web site and in The Assay magazine are not, and should not be construed as, an offer to buy or sell, or as a solicitation of an offer to buy or sell, any regulated products, securities or investments. This Web site and The Assay Magazine do not, and should not be construed as acting to, sponsor, advocate, endorse or promote any regulated products, securities or investments. This Web site and The Assay magazine and the information and materials on this Web site and in The Assay magazine do not, and shall not be construed as, making any recommendation or providing any investment or other advice with respect to the purchase, sale or other disposition of any regulated products, securities or investments, including, without limitation, any advice to the effect that any mining or metals related transaction is appropriate or suitable for any investment objective or financial situation of a prospective investor. A decision to invest in any regulated products, securities or investments should not be made in reliance on any of the information or materials on this Web site or in The Assay magazine. Before making any investment decision, prospective investors should seek advice from appropriately qualified and licensed financial, legal, tax and accounting advisers, take into account their individual financial needs and circumstances and carefully consider the risks associated with such investment decision.

Privacy Policy

© 2021 The Assay

Go to mobile version