BEIJING (Asian Metal) 11 Jun 19 – Jinzhou Rongxin Ferroalloy Co., Ltd., with an annual production capacity of 1,500t of ferrovanadium, plans to resume production of the material in mid-July, a source from the company revealed to Asian Metal.The company has been out of production for nine months.
“With the ferrovanadium market recovering, consumers are active in making enquiries now. We are purchasing raw material vanadium pentoxide flake at present and expect to resume production in one month,” the source said. “Since last October we have been out of production. The main reason is that ferrovanadium prices moved up and down too quickly, exposing us to great potential risks. So we decided to suspend production and during the suspension period we undertook equipment upgrading,” the source added. Quotations the company receives now for vanadium pentoxide flake 98%min have risen to the level of RMB125,000/t (USD8.4/lb V) EXW D/A 180 days, and spot supply of the material is tight.
The company is located in Jinzhou city, Liaoning province. It has an annual production capacity of 1,500t of ferrovanadium and usually maintains a monthly output of 50-60t.
Currently in China, mainstream prices for ferrovanadium 50%min are RMB128,000-131,000/t (USD36.9-37.8/kg V) EXW D/A 180 days, up by RMB6,000/t (USD1.7/kg V) from last week. As raw material prices have risen suddenly and dramatically, insiders believe that prices for Chinese ferrovanadium would rise to the level of RMB135,000/t (USD39.0/kg V) in the coming week.
www.asianmetal.com
