ALCONIX Supplies Mg for Japan Aluminium Rerollers

ALCONIX Corporation started the magnesium ingot import from Chinese joint venture, Taiyuan Jinwei Magnesium in June. ALCONIX imports around 500 tonnes of material to supply for Kobe Steel, Furukawa-Sky Aluminium and Sumitomo Light Metal Industries. The joint venture will recover the full capacity operation while the firm is operating at lower level due to severe restriction for environmental emission and electricity supply during Beijing Olympic game. The joint venture with monthly 500 tonnes of output capacity started operation in March. The firm operates with gas supply from adjacent coke plant. However, the gas supply decreases when Chinese government ordered output reduction for coke plants. The joint venture was forced to reduce the operation under less electricity supply along with the lower gas supply. ALCONIX expects the joint venture would recover the full capacity operation in October under higher supply of electricity and energy. Taiyuan Yiwei Magnesium Industry controls 51% of the joint venture with 14.7% share each by Kobe Steel and Furukawa-Sky and 9.8% by ALCONIX. They secure the material depending on the share.