China’s largest secondary aluminium alloy maker Shanghai Sigma Metals will start commercial operation of a new plant in Chongqing in March 2012. The new plant will start operation with initial output capacity at 150,000 tonnes per year while the capacity will be raised to 300,000 tonnes until the end of 2012. Mr. Chairman and CEO of the firm Tony Huang explained the new plant’s details to Japan Metal Bulletin in Shanghai.
The new plant in Chongqing will install three 150-tonne melting furnaces and three 150-tonne holding furnaces. Casting lines will be transferred from another existent plant in Chongqing. The new plant launches production of secondary aluminium alloy including AD12.1 grade alloy in March 2012. The firm plans production of silicon mother alloy and aluminium melt at the end of 2012. Shanghai Sigma Metals eyes the second-phase capacity expansion of Chongqing new plant, by which the new plant’s capacity would reach 600,000 tonnes per year. Capital expenditure for the second-phase expansion is estimated to accumulate US$ 100 million (approximately 7.7 billion yen) including the land purchase.