Guangxi Longyuan suspends production for submerged arc furnace maintenance
2019-10-10 11:04:53 [Print]
BEIJING (Asian Metal) 10 Oct 19 - Guangxi Longyuan Ferroalloys Co., Ltd. halted production of silicomanganese 60/14 on 29th, September for submerged arc furnace maintenance, and plans to resume production around 15th, October, a source from the company disclosed to Asian Metal.
"Due to the transportation control in the surrounding areas of Beijing during the National Day holidays, resulting in the delivery delay of the raw material coke, plus the failure of our submerged arc furnace, we halted production on 29th, September for maintenance," the source revealed, adding that they expect to resume production on 15th, October. As they have delivered the signed orders before suspension and have no stocks at present, they would not accept spot orders during the maintenance period. Taking the continuously decreasing prices of manganese ore into consideration, the source predicts that the prices of silicomanganese 60/14 would further decline by around RMB100/t (USD14/t) in the coming week.
With an annual production capacity of 30,000t of silicomanganese, the producer expects to achieve an output of about 1,000t in October, down by around 900t from last month, holding no stocks at the moment. The producer only produced about 14,000t of silicomanganese in 2018 due to a production suspension of five months, and produced around 14,000t in the first nine months of 2019.
The mainstream prices of silicomanganese 60/14 in Guangxi region stand at RMB5,200-5,300/t (USD729-743/t) Ex-VAT EXW D/P, down by RMB100/t (USD14/t) from late last month.
"Due to the transportation control in the surrounding areas of Beijing during the National Day holidays, resulting in the delivery delay of the raw material coke, plus the failure of our submerged arc furnace, we halted production on 29th, September for maintenance," the source revealed, adding that they expect to resume production on 15th, October. As they have delivered the signed orders before suspension and have no stocks at present, they would not accept spot orders during the maintenance period. Taking the continuously decreasing prices of manganese ore into consideration, the source predicts that the prices of silicomanganese 60/14 would further decline by around RMB100/t (USD14/t) in the coming week.
With an annual production capacity of 30,000t of silicomanganese, the producer expects to achieve an output of about 1,000t in October, down by around 900t from last month, holding no stocks at the moment. The producer only produced about 14,000t of silicomanganese in 2018 due to a production suspension of five months, and produced around 14,000t in the first nine months of 2019.
The mainstream prices of silicomanganese 60/14 in Guangxi region stand at RMB5,200-5,300/t (USD729-743/t) Ex-VAT EXW D/P, down by RMB100/t (USD14/t) from late last month.
Silico-manganese 60/14 EXW China
Unit:RMB/mt
China silicomanganese producers' inventory to production ratio statistics by province by month
Unit: %
