RUSAL started less sell value-added products
The RUSAL company shared the results of its operations for the first quarter of 2019. So the company produced aluminum in the amount of 928 thousand tons. Compared to the previous quarter, the figure declined by 1.6%. Primarily the products were manufactured at the plants located in Siberia. They account for 93% of the total production volume. As for sales, they amounted to 896 thousand tons. The sales of value added products decreased. The difference with the previous quarter, representing 22.2%. Thus, it sold 259 thousand. The situation has deteriorated from the action of the American sanctions.
The average selling price of this metal amounted to 1949 dollars/ton. Compared to the fourth quarter of 2018 and it is 7.8% less. The reason was that a number of changes. First of all, fell the average price of metal on London exchange. In addition, the decline affected component in the average realized premium. It decreased by 7.4% compared to the previous quarter. Thus, the figure was $ 100 per ton. In the official message of the company explains the drop in premiums. So it is associated with a reduction in the share of value-added products. This refers to the sales structure. The reason for this are various external factors. They are caused by the action of the American sanctions.
The volume of alumina production in the first quarter of 2019 also declined. In comparison with the fourth quarter of last year, the difference amounted to 1.3%. Thus, it was produced 1932 thousand tonnes. It is about 35% of the total production volume in the country. However, the production of bauxite and nepheline ore rose. The increase amounted to 3% and 23.5%, respectively.