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打印[Ferro-Alloys.com] China’s Ministry of Environmental Protection (MEP) has shut down Guangxi Huayin Aluminum Co. Ltd. (Huayin Aluminum) after the alumina producer failed to obtain approval for its environmental protection facilities.
The firm was ordered to stop production and fined RMB 100,000 ($15,768.39), the MEP said Monday.
State media have reported nine pollution leaks at Huayin Aluminum’s 1.6-million ton plant since it came on-stream in 2008. The most recent was a mud leak at its Longshan sludge dump on May 26 which affected 43 households and submerged 67 hectares of farmland.
Based in Baise City, Guangxi Zhuang Autonomous Region, the company represents the largest single investment in the domestic aluminum industry. It operates one of the few integrated alumina plants in China with a dedicated bauxite mine, making it among the lowest-cost alumina refineries in the country.
The plant in fact ceased production sometime ago amid weak aluminum demand and an oversupply of alumina, so the MEP’s decision will have a negligible impact on the market, said Liu Xiaolei, an analyst with SMM Information & Technology.
Alumina stockpiles at China’s largest transshipment port for the aluminum ingredient, Lianyungang in Jiangsu Province, are currently 300 to 400 percent higher than this time last year, the analyst noted. Low prices for Australian alumina encouraged purchases by Chinese buyers, and higher monthly import volumes since May contribute to the oversupply.
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