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Mining Richard.Indd 1 24/02/2021 14:33:34 34 the ALUMINA CHRONICLES www.aluminiumtoday.com THE ALUMINA CHRONICLES 33 Aluminium Industry in Australia Worsley Alumina mines bauxite near the town of Boddington and operates an alumina refi nery in Worsley; both communities are in Western Australia. (Photograph was provided courtesy of South32.) Overall Aluminium Industry baseline of work on which they can then was 107 million tonnes (Mt). Forty- Australia is one of the few countries in the build.” one Mt of bauxite were exported, and world that has all three key elements of Euromonitor International, a market the remainder converted to Australian the aluminium industry: bauxite mining, research provider, has forecasted that alumina. This is an eight percent increase alumina refi ning, and aluminium smelter overall aluminium production in Australia in tonnage compared to the previous operations. Not only is the aluminium has grown from (US) $24,653,800,000 year.” industry an important business segment in 2019 to (US) $25,242,100,000 in “Global bauxite demand is forecast within the nation, it’s also a major export 2020. This represents a forecast of a 2.4% to increase at almost four percent per industry for Australia. Both businesses increase. The overall aluminium industry annum,” stated Ms. Johnson. “Australia is headquartered domestically within the category included, reported Euromonitor on track to continue to produce around nation as well as companies headquartered International, production of aluminium a quarter of the world’s bauxite.” Ms. in other countries lead the aluminium from alumina, electrolytic refi ning of Johnson reported that in 2018, the industry in Australia. Among the global aluminium waste and scrap, production of Australian Aluminium Council, together businesses with operations here include aluminium alloys, semi-manufacturing of with the International Aluminium Institute Alcoa, Hydro, Rio Tinto, RUSAL, and aluminium, production of aluminium oxide and the Brazilian Aluminium Association, South32. Some of Australian aluminium (alumina), and aluminium wrapping foil. co-authored the Sustainable Bauxite operations are 100% owned by one fi rm, Mining Guidelines. She explained that whilst others are joint ventures. Alcoa of Bauxite Mining these guidelines “… share the expertise Australia Limited (Alcoa), for example, is “There are currently fi ve large bauxite learned from many decades of sustainable owned 60 percent by Alcoa Corporation mines in Australia providing feedstock mining practices in Australia with the and 40 percent by Alumina Limited, for the six alumina refi neries and the global industry.” according to a statement from Alcoa. export market,” said Ms. Johnson of the “The Australian aluminium industry Australian Aluminium Council. “Australia Alumina Refi ning has been operating since 1955 and has is the world’s largest producer of bauxite. The six Australian alumina refi neries signifi cantly contributed to the economy Australian bauxite deposits have high include three operated by Alcoa in throughout this period,” stated Ms. grades and are shallow and relatively easy Kwinana, Pinjarra, and Wagerup, all three Marghanita Johnson, Executive Director to mine. The quality of Australian bauxite of which are locales in Western Australia. of the Australian Aluminium Council. means there are a number of small new Rio Tinto operates an alumina refi nery “Members of the Australian Aluminium mines now operating in Australia, as well in Yarwun, Queensland, and is also in a Council include bauxite mines, alumina as exploration activities underway for new joint venture with RUSAL for Queensland refi neries, aluminium smelters, extruders resources.” Fig 1 Alumina Ltd, an alumina refi nery located and distributors, as well as organisations Among the major bauxite mines in in Parsons Point, Gladstone, Queensland. associated with the industry. The industry Australia are ones operated by Alcoa in RUSAL reported that this joint venture “… is a key employer and contributor in the Huntly and Willowdale, both communities company’s infrastructure includes a wharf communities in which we operate. The in Western Australia. Rio Tinto operates and storage facilities on South Trees Island Australian industry employs thousands bauxite mines in Grove, Northern in Gladstone Harbour. Alumina production of people and adds value to Australia’s Australia, and in Weipa, Queensland, began in March, 1967.” Fig 2 local, state, and national economies at whilst South32 operates a bauxite mine The sixth refi nery, Worsley Alumina, is every stage, as well as having world-class near Boddington, Western Australia. operated by South32 in Worsley, Western environmental standards. Within the “The majority, more than 60%, of Australia. South32 noted that the bauxite regions in which the industry operates, Australian bauxite is used domestically in mined by the company near the town there is not only high-quality employment Australia’s alumina refi neries,” indicated of Boddington “…is transported by at mines, refi neries, and smelters, but also Ms. Johnson. “The balance is exported, overland conveyor to the alumina refi nery the opportunities for local contractors with China being the main market. In near Collie and turned into alumina to grow where the industry provides a 2019-20, Australian bauxite production powder, before being transported by Aluminium International Today March/April 2021 Mining Richard.indd 1 24/02/2021 14:33:34 34 THE ALUMINA CHRONICLES www.aluminiumtoday.com Fig 1. Bauxite is seen arriving at Alcoa’s Wagerup Alumina Refinery in Western Australia. Fig 3. Alcoa operates this alumina refinery at Wagerup in Western Australia. (The photograph was provided courtesy of the Australian Aluminium Council.) (This photograph was provided courtesy of the Australian Aluminium Council.) rail to Bunbury Port. It is then shipped produces 585,000 tonnes of aluminium to smelters around the world, including every year, which is 25% of Australia’s South32’s Hillside and Mozal aluminium primary aluminium. Ninety percent of the smelters in Africa.” South32 detailed product is exported to the Asia-Pacific that the business owns 86 percent of region.” Among products manufactured Worsley Alumina, “whilst Japan Alumina by Tomago Aluminium, according to Associates (Australia) Pty Ltd owns ten a statement from Hydro, include “… percent and Sojitz Alumina Pty Ltd owns primary aluminium as well as aluminium four percent.” South32 indicated in its ingots, extrusion billet, and rolling slabs.” financial filing for Year 2020 (ending 30 “Smelter location tends to be dictated June 2020) that its portion of the saleable primarily by the availability and proximity production at Worsley Alumina increased to historically low-cost electricity by two percent to 3,886kt in fiscal year sources,” said Ms. Johnson of the 2020. Future growth in production is Australian Aluminium Council. “Location anticipated, according to South32. is also influenced by other factors such “As Australia only has four aluminium as transport costs and the availability smelters, with collective capacity of 1.6 Mt and quality of other infrastructure. All of primary aluminium, the majority (around Australia’s aluminium smelters are located 85%) of Australia’s alumina production is close to or on the coastline.” exported, predominantly to the Asia Pacific region,” said Ms. Johnson of the Australian COVID-19 Aluminium Council. “Australia alumina “Australian bauxite miners were largely production in 2019-20 was 20.5 million unaffected by the COVID-19 lockdowns,” tonnes. Australia maintained its position Fig 2. Alumina being loaded at Alcoa’s berth at the stated Ms. Johnson of the Australian as the second largest producer of alumina Bunbury Port for export from Western Australia. Aluminium Council. “Alumina production and the world’s largest exporter, with 17.9 (This photograph was provided courtesy of the Australian in Australia has been resilient amidst the Mt exported in 2019-20 contributing more Aluminium Council.) COVID-19 Pandemic, with all Australian than (AUS) $7 billion in export revenues. refineries remaining in operation during the This is a one percent increase in tonnage in Boyne Island, Queensland, both COVID-19 lockdowns. However, members from the previous year.” operated by Rio Tinto. Alcoa operates of the Australian Aluminium Council took “Australia’s alumina refineries are a smelter in Portland, Victoria, whilst a a number of measures, depending on the forecast to continue to produce about smelter operated by Tomago Aluminium regional impacts.” Fig 4 20.5 Mt per annum,” stated Ms. Johnson. Company Pty Limited – a joint venture of “During the first half of 2020, “Global demand for primary aluminium is several businesses, including CSR, Hydro, commodity prices collapsed because of forecast to continue to increase at two and Rio Tinto – is located in Tomago, New COVID-19,” she explained. “Whilst prices percent per annum, driving alumina South Wales. have, in part, recovered, the longer- demand.” Fig 3 “Tomago Aluminium is Australasia’s term future of industry will depend largest aluminium smelter and has been on the rate of recovery of the global Aluminium Smelters operating 24 hours a day since 1983,” manufacturing sector and the impact this The Australian Aluminium Council noted a statement from the business. has on international demand. Equally, the reported that Australia is the world’s sixth “The owners provide raw materials to COVID-19 Pandemic has underscored the largest producer of primary aluminium Tomago that are converted to aluminium
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