It May Take a Year to Restore Abu Dhabi Aluminum Output, EGA Says [Yahoo! Finance]
HONG KONG EX&CL UNSP/ADR (HKXCY)
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Source: Yahoo! Finance
Emirates Global Aluminium said the Al Taweelah smelter went into emergency shutdown, after suffering significant damage from missiles and drones. The company has completed an initial damage assessment of the facilities in the United Arab Emirates and is in contact with customers whose shipments may be impacted, it said in a statement Friday. The Middle East accounts for about 9% of global aluminum production, but the impact of the war is being amplified because constraints on output elsewhere have eroded inventories, leaving the market with little buffer to cushion any shocks. Even before the attacks on EGA's facilities, the industry was bracing for more production cuts as Strait of Hormuz disruptions affected the flow of raw materials for the region's plants. “To resume operations at the smelter, EGA must repair infrastructure damage and progressively restore each of the reduction cells,” the company said in the statement. “Early indications are that a complete restoration of pr
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