- Tomago support package targets long-term power supply for aluminium smelter
- Geopolitical tensions lift oil and gold ahead of US CPI data
LME base metals traded mixed on 11 August. Aluminium recorded the strongest gain, rising 1.39% d-o-d to $3,364/t, followed by nickel, which fell 0.56% to $16,830/t. Zinc slipped 0.24% to $3,729/t, lead edged higher by 0.21% to $1,907/t, while copper eased 0.02% to $14,157/t.
LME inventories recorded mixed trends. Copper stocks recorded the steepest decline of 2.10% d-o-d to 218,300 t, followed by lead, down 0.65% to 421,800 t, and aluminium, which fell 0.59% to 254,900 t; zinc stocks edged higher by 0.05% to 97,125 t, while nickel inventories were unchanged at 264,444 t.
Domestic market overview
India’s non-ferrous scrap market witnessed mixed trends on 11 August, with aluminium prices stable and copper moving higher. Aluminium tense scrap remained unchanged at INR 245,000/t ex-Delhi and INR 240,000/t ex-Chennai.
Meanwhile, copper armature scrap (Cu 99%), ex-Delhi, increased by INR 2,000/t, or 0.2%, to INR 1,288,000/t. The move came despite copper edging lower on LME, indicating firmer domestic pricing.
Other updates
Oil, gold rise as geopolitical tensions intensify
Oil prices rose on 11 August as geopolitical tensions heightened concerns over shipping through the Strait of Hormuz, pushing Brent crude to $88.9/bbl. Gold prices also climbed to $4,387/oz as investors sought safe-haven assets ahead of the release of US consumer price index (CPI) data and looked for signals on the future direction of US monetary policy.
Norsk Hydro cuts Alunorte alumina output by 50%
Norsk Hydro has cut Alunorte alumina refinery output in Brazil to 50% of capacity after disruptions to natural-gas supplies from CELBA. The refinery has annual capacity of about 6.3 million tonnes, making the reduction relevant to global alumina availability. Hydro is using spot gas and seeking alternative supplies. The company expects a $75–100 million impact on its Bauxite & Alumina business in Q3 2026. A prolonged outage could tighten alumina supply and raise input costs for aluminium smelters.
Australia prepares support package for Tomago smelter
Australia is preparing a support package of about A$2.5 billion over 10 years to secure the future of Rio Tinto-majority-owned Tomago Aluminium in New South Wales. The proposal would support long-term power supply, with electricity accounting for more than 40% of operating costs. Tomago can produce up to 590,000 tonnes a year, while its existing AGL power contract expires in December 2028. The package would help preserve domestic aluminium capacity and reduce the risk of future supply loss.
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