MOSCOW, Feb. 22 /PRNewswire-Asia/ -- RUSAL (SEHK: 486; EuroNext:
RUSAL/RUAL), the world's largest aluminium and alumina producer,
announces its key production data for 2009 (Note 1).
Key highlights
* Total aluminium output amounted to 3.9 million tonnes in 2009,
a
reduction of 11% compared to 2008.
* Alumina output totaled 7.3 million tonnes in 2009, a decline of
36% as
compared to 2008.
* Following weakened demand, bauxite production was reduced by 41%
to
11.3 million tonnes in 2009 as compared to 2008.
* Aluminium foil and packaging production volume of about 67.8
thousand
tonnes in 2009 remained practically unchanged as compared to
2008.
* Assuming growth in demand for aluminium in 2010 as forecast by
the
experts referred to below, in 2010 RUSAL plans to produce 3%
more
aluminum and 7% more alumina than in 2009.
Commenting on the today's announcement, Oleg Deripaska, CEO of
RUSAL said: "The past year tested the resilience of the aluminium
industry and forced every company to respond to the downturn. RUSAL
acted decisively to address the consequences of the global economic
downturn and enhanced its long term competitiveness through its
cost-cutting programme, successful restructuring of its debt and
its share listing on the Hong Kong and NYSE Euronext Paris stock
exchanges. We have laid a solid foundation for the further
sustainable development of our business.
We are seeing the first signs of a recovery in demand, as more
countries emerge from recession, reflected in an increasing number
of orders from our clients in Europe and the U.S. as well as
continued economic growth in Asia which encourages our optimism
about prospects for the aluminium industry. We believe that the
stabilization that is now being seen will lead to consumption
growth exceeding the pace of production increases."
For Total Output in 2009, please visit:
http://www.prnasia.com/sa/attachment/2010/02/2010022239588.pdf
Market analysis (Note 2)
2009 was one of the toughest years on record for the global economy
and commodity markets, including the aluminium industry. According
to CRU Group, the global recession resulted in an 8.2% drop in
demand for aluminium in 2009 compared to 2008. In 2009, the average
price for aluminium dropped by 35% compared to 2008. Responding to
these negative factors, in 2009, aluminium producers cut annual
production by about 2.4 million tonnes and postponed launching new
facilities totaling about 3.5 million tonnes a year. Overall,
global aluminium production dropped 5.9% as compared to 2008 to
37.8 million tonnes in 2009.
In 2009, global prices for aluminium and other commodities were
supported by the growing Chinese economy, which was aided by a USD
685 billion stimulus programme supporting economic growth through
major infrastructure projects and a range of measures to stimulate
demand for industrial products, including the automotive industry.
According to Brook Hunt, in late 2009, the revival of developed
economies initiated restocking throughout the aluminium production
chain, further supporting demand.
Aluminium
UC RUSAL total attributable aluminium output amounted to 3.946
million tonnes in 2009, a reduction of 11% compared to 2008. The
lower volume was in part caused by the temporary suspension of the
least cost-efficient smelters, the Novokuznetsk (NkAZ), Bogoslovsk
(BAZ) and Urals Aluminium Smelters (UAZ) in Russia and the
Zaporozhye Aluminium Smelter (ZALK) in Ukraine.
For details, please visit:
http://www.prnasia.com/sa/attachment/2010/02/20100222627570.pdf
Alumina
Total attributable alumina output for UC RUSAL amounted to 7.279
million tonnes in 2009, a decline of 36% as compared to 2008.
Production was cut at relatively high cost alumina facilities, such
as Aughinish (Ireland) and the Zaporozhye Alumina Refinery (ZALK,
Ukraine). Production was temporarily suspended at Eurallumina
(Italy), Windalco (Jamaica) and Alpart (Jamaica).
For details, please visit:
http://www.prnasia.com/sa/attachment/2010/02/20100222276070.pdf
Bauxite
Due to weakened demand, the Company's overall bauxite production
was reduced by 41% to 11.3 million tonnes in 2009 as compared to
2008.
For details, please visit:
http://www.prnasia.com/sa/attachment/2010/02/20100222102772.pdf
Investment projects
RUSAL will continue implementing its core investment project -the
construction of the Boguchanskaya Hydro Power Plant. The Company is
also actively seeking project financing to revive the construction
of the Taishet and Boguchansky Aluminium Smelters.
Outlook for 2010
A number of experts are forecasting that 2010 will see considerable
growth of the aluminium market generated by rising demand from the
automotive and packaging sectors. CRU analysts expect aluminium
consumption to grow by 12.6% in 2010 as compared to 2009. Positive
dynamics are expected to be driven primarily by continued economic
development in China and India due to growing urbanization. Demand
for aluminium is also expected to be supported by the major
developed countries as the global economy revives.
Assuming the gradual restoration of the market in 2010, RUSAL plans
to increase production of aluminium by 3% in 2010, compared to
2009. The increase is expected to include an increase in production
at the Siberian plants, Alscon (Nigeria), KUBAL (Sweden) and
potline 5 at the Irkutsk Aluminium Smelter (IrkAZ) in Russia
reaching its full production capacity.
On the basis of the same assumption, RUSAL expects to increase
alumina output by 7% in 2010 compared to 2009, by stabilisation of
alumina production at the Achinsk Alumina Refinery (AGK),
Bogoslovsk (BAZ) and Urals Aluminium Smelters (UAZ) as well as
restoring production at the Boksitogorsk Alumina Refinery (BGZ) in
Russia and Aughinish Alumina Refinery in Ireland.
Note 1: The figures disclosed in the announcement are unaudited
and
therefore may differ from the audited figures
Note 2: Source: CRU Group (unless otherwise stated)
ABOUT RUSAL
RUSAL (http://www.rusal.com ) is the world's largest producer of
aluminium, in 2008 accounting for approximately 11% and 13% of
global production of aluminium and alumina, respectively. RUSAL
employs more than 75,000 people in 19 countries, across 5
continents. RUSAL markets and sells its products primarily in the
European, Japanese, Korean, South East Asian and North American
markets. RUSAL's ordinary shares are listed on The Stock Exchange
of Hong Kong Limited (Stock code: 486) and global depositary shares
representing RUSAL's ordinary shares are listed on the professional
compartment of Euronext Paris (RUSAL for Reg S GDSs and RUAL for
Rule 144A GDSs).
Forward-looking statements
This announcement contains statements about future events,
projections, forecasts and expectations that are forward-looking
statements. Any statement in this announcement that is not a
statement of historical fact is a forward-looking statement that
involves known and unknown risks, uncertainties and other factors
which may cause our actual results, performance or achievements to
be materially different from any future results, performance or
achievements expressed or implied by such forward-looking
statements. These risk and uncertainties include those discussed or
identified in the Prospectus. UC RUSAL makes no representation on
the accuracy and completeness of any of the forward-looking
statements, and, except as may be required by applicable law,
assumes no obligations to supplement, amend, update or revise any
such statements or any opinion expressed to reflect actual results,
changes in assumptions or in UC RUSAL's expectations, or changes in
factors affecting these statements. Accordingly, any reliance you
place on such forward-looking statements will be at your sole
risk.
Disclaimer
The information contained in this press release is for media advice
only. The contents are true and accurate at the time of publishing,
however, may change over time.
For Mass Media Enquiries:
RUSAL
Vera Kurochkina
Tel: +7-495-720-5170
[email protected]
For Investor Enquiries:
RUSAL
Catherine Shiang
Tel: +852-6391-6819
[email protected]
SOURCE RUSAL