Eurasian Natural Resources Corp. produced 358,000 mt of ferrochrome in the second quarter, up 20% from output of 275,000 mt in Q2 2009, as its ferroalloys operations continued to operate at effectively full capacity, the Kazakh producer said Wednesday. Output was also up 3.8% from 345,000 mt in Q1 this year.

 

Of the total, high-carbon ferrochrome production reached 323,000 mt, up almost 26% from 257,000 mt in Q2 2009, while low-carbon output rose to 23,000 mt from 14,000 mt and medium-carbon totaled 12,000 mt, up from 3,000 mt in the year-earlier period.

 

ENRC's silicomanganese production reached 49,000 mt in Q2, up 29% from output of 38,000 mt in Q2 last year, while ferrosilicon production rose to 12,000 mt from 7,000 mt and ferrosilicochrome output jumped to 47,000 mt to 12,000 mt over the same period.

 

Ferroalloys capacity utilization in Q2 2010 for the company's Kazchrome unit in Kazakhstan was 99% (compared with 98% in Q1 2010 and 81% in Q2 2009), ENRC said. At its Serov unit in Russia capacity utilization was 97% (Q1 2010: 89%; Q2 2009: 34%) and at the Tuoli operation in China it was at 90% (Q1 2010: 77%; Q2 2009: minimal--one furnace restarted at the end of June).

CHROME, MANGANESE ORE EXTRACTION UP

 

Chrome ore extraction was at full capacity in Q2 2010 and amounted to 1.271 million mt, an increase of almost 17% from Q2 2009, as a result of improved market conditions, the company said.

 

ENRC produced 861,000 mt of saleable chrome ore in Q2, up 4.6% year-on-year. The lower rate of growth in saleable ore production relative to ore extraction reflected a change in the product mix and an increase in the grade of saleable ore, the company said.

 

Manganese ore extraction increased 144,000 mt, or 22%, year-on-year to 786,000 mt, and was also up 42% compared with Q1 2010. The processing of low-grade stockpiles decreased 44,000 mt, or 22%, compared with Q2 2009, but almost doubled compared with Q1 2010. Saleable manganese concentrate production increased 17% to 289,000 mt compared with Q2 2009 and was up 74% against Q1 2010.

 

"The significant increase in manganese ore extraction and production against Q1 2010 reflected the impact of flooding in March 2010 as well as an increase in demand seen in Q2 2010," ENRC said, noting that some concentrating facilities are only operational during the warmer seasons.