Thursday, October 28 2021 11:08

ArmInfo.RUSAL (SEHK: 486, Moscow Exchange: RUAL), a leading global aluminium producer, has announced its operating results for 9 months of 2021.

Main results

The volume of aluminum production in January-September 2021 amounted  to 2.811 million tons (+ 0.2% compared to the same period last year).  At the same time, the share of products with high added value (HVA)  reached 52% (+ 9%).

The aluminum sales volume amounted to 2.915 million tons (+ 0.6%).

The average realized aluminum price increased to USD 2,426 per tonne  (+ 38%).

The total production of alumina increased by 2.0% and amounted to  6.167 million tons.

During the reporting period, the company's foil rolling mills  produced 81.2 thousand tons of aluminum foil and packaging, which is  7.3% more than in 9 months of 2020, incl. SAYANAL - 29.0 thousand  tons, ARMENAL - 25.4 thousand tons, Urals Foil - 22.6 thousand tons  and Sayana Foil - 3.6 thousand tons.

"Despite the seemingly favorable market conditions, we remain facing  with a number of challenges. World prices for energy and raw  materials for aluminium production continued to rise, for some items  prices have increased 4 to 5 times since the beginning of the year,  which led to an increase in the cost of production of aluminium and  alumina.  The COVID-19 pandemic still provides turmoil among the  markets.  Nevertheless, RUSAL is increasing supplies to the domestic  market: the share of sales in Russia and the CIS has grown to a  record 29%. Together with our partners, we have introduced a number  of new aluminium products to the Russian market such as cables,  lighting poles, cast pipes and alloys for facade panels. The share of  valueadded products in the Company's sales increased to a record  level of 54%. The demand for our aluminium under the ALLOW brand  remains high due to the global trend towards reducing carbon  footprint. We are pleased that in the 5 years since the launch of the  brand, sales have increased 5 times."

Market Review 

According to RUSAL experts, in January-September 2021, global demand  for primary aluminum increased by 12.8% compared to 9 months of the  previous year - up to 51.9 million tons.  

The global supply of primary aluminum continu

ed to grow, increasing by 5.4% in y-o-y terms to 50.8 million tons. 

In general, according to the results of 9 months of 2021, there was a  high deficit of aluminum in the world market at the level of 1.1  million tons compared to the balanced situation in H12021 and a  surplus of 2.2 million tons for the same period of 2020.  

To note, RUSAL (www.rusal.ru) is the leader in the global aluminum  industry. The company was founded in 2000 by Oleg Deripaska. In 2020,  the company accounted for about 5.8% of global aluminum production  and 6.5% of alumina. RUSAL is present in 20 countries of the world on  5 continents. RUSAL's common shares are listed on the Hong Kong Stock  Exchange (SEHK: 486). RUSAL's common shares are traded on the Moscow  Stock Exchange: RUAL.