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Tuesday, 24 April 2012

Antimony ingot producers plan to stop production

BEIJING (Asian Metal) 19 Apr 12 – As there is a very narrow or almost no profit margin to process antimony ore into antimony ingot at this moment, some antimony ingot producers plan to stop production.

A Hunan-based antimony ingot producer whose output was about 500-600tpm in 2010 and decreased to 300tpm averagely in 2011 reported that he sells 80t of antimony ingot 99.65%min at around RMB69,000/t (USD10,952/t) VAT excluded early this week, and this is his last deal as he plans to stop production later. "The offer of antimony concentrate 35% is about RMB530/mtu (USD84.13/mtu) VAT excluded at this moment, but buyers bid RMB68,000/t (USD10,794/t) VAT excluded for antimony ingot 99.65%min," said the source, adding a production cost of about RMB15,000/t (USD2,381/t).

According to the source, he is not sure about the future market, and dares not replenish antimony ore or concentrate at this moment, so decides to shut down and watch the market.

A Hunan-based antimony ingot producer told Asian Metal that he buys a batch of antimony oxide powder 70-80% at RMB589/mtu (USD93.49/mtu) VAT excluded from an antimony ore importer early this week. "I have orders to carry out, and is planning to cease production in May," said the source.

According to the source, most antimony ingot producers who purchase antimony ore or concentrate to process have limited or don't have profit at this moment. "Part of them reduces the output, but part plans to stop production," said the source.

Rregards,
许彪Sam Xu
副总经理Vice General Manager
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深圳杰夫矿业集团昆山办事处   Shenzhen Jiefu Corporation (Kunshan Branch)                  
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