Nalco bags $70.10 premium on aluminum export

National Aluminium Company Ltd (Nalco), the country's second biggest producer of aluminium and alumina, has got a premium of $70.10 on the LME (London Metal Exchange) prices for its metal in a bidding process finalised on Thursday. "The 7000-tonne aluminium ingots put in the bidding process would be supplied over a period of seven months starting from September 2008," Nalco executive director (marketing) PK Parida told FE. He, however, refused to give details of the biddings. The company, which had finalised a tender for the sale of 30,000 tonne of alumina earlier this month, got a free on board (FOB) price of $326.30 per tonne. The Hong Kong-based trading house, Nobel Resources, has clinched the deal. The price, however, was lowered compared to $458.60 FOB price it had got from the same company in July 2008 bidding. Pardia said that this time the number of bidders was more for the lot. There were six bidders as against three last time. "The consignment would be supplied between September 26 and 30," Parida said. With the metal prices coming down in the international market, Nalco has downwardly revised its prices with effect from September 10, 2008. It has slashed metal prices by Rs 3,000 per tonne. With Rs 1,000 discount per tonne announced earlier, prices would be effectively lower by Rs 4,000 per tonne. The discount on prices would come to an end on September 30, 2008. The rolled product has been slashed by Rs 4,000 per tonne. Nalco often adjusts its prices taking a cue from the LME. The company, in fact, had hinted to go for a price cut in the third week of the last month when metal prices slipped by about $600 per tonne since July 11 prices of $3,341. Source:THE FINANCIAL EXPRESS