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Alcoa suspends bauxite shipments from Brazil's Juruti mine due to port issue
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Alcoa suspends bauxite shipments from Brazil's Juruti mine due to port issue
Nov 9, 2024 12:19 PM

LONDON, Nov 7 (Reuters) - U.S. aluminium maker Alcoa ( AA )

said on Thursday it had halted bauxite shipments from

Brazil's Juruti port due to a stranded vessel in the waterway.

This was the latest in a series of disruptions to hit the

aluminium raw material supply chain, which have pushed alumina

prices to record highs and supported aluminium prices.

Alcoa ( AA ) declared force majeure at its bauxite mine in the

Juruti region on Wednesday as an inaccessible waterway hindered

its ability to supply its customers, an Alcoa ( AA ) spokesperson said

in an emailed statement to Reuters.

The statement gave no estimate on when shipments would

resume.

One trader source said the vessel has been stranded near

Juruti port since late October and bauxite has not been moving

for almost 10 days.

The Juruti area has one of the world's largest deposits of

high grade bauxite, which is typically crushed and refined into

alumina. Alumina is the major raw material for making primary

aluminium.

Three-month benchmark prices for aluminium on the London

Metal Exchange surged to a five month high of $2,732 per

metric ton on Thursday. It last traded at $2,706 as at 1519 GMT.

Alumina prices rallied last month after disruptions to

shipments in Guinea and Australia.

The most traded alumina contract for January expiry on the

Shanghai Futures Exchange (ShFE) has jumped 25% since the start

of October to 5,279 yuan per tonne.

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