Rusal cuts Q1 aluminium output by 7.2%

Russia's UC Rusal cut aluminium production by 7.2% to 1.0Mt in the first quarter of 2009 and plans to cut output of the metal by a total 500,000t in 2009, the company said on Tuesday. UC Rusal, controlled by billionaire Oleg Deripaska, said in a statement its cost reduction measures saved the company US$554 million in the first quarter. "Our goal is to reduce costs further by Q4, providing us with cost savings of US$1.1 billion in 2009," said Mr Deripaska, who is also UC Rusal's chief executive. Output of intermediate product alumina declined 25.3% year-on-year in the first quarter. By the end of 2009, alumina output cuts would total 3.9Mt, UC Rusal said. The company said it cut the average production cost of aluminium per tonne by more than 23% between December 2008 and March 2009.