Sulphuric Acid -
NEWS
Updated March 7, 2024
2024
Chinese group buys Tsumeb smelter for N$931m
from Dundee
Alleima launches new super-duplex tube for
acids
France offers loan to New Caledonia nickel firm
Prony to avert collapse
Kazakh-Italian Roundtable Concludes with $1.5
Billion in Signed Deals
First Quantum to halt Ravensthorpe nickel mine
The World-Class Kamoa-Kakula Copper Complex
Partners With Elessent Clean Technologies for MECS® Sulfuric
Acid Plant
CRU acquires leading fertilizer and chemical
industry publications from BCInsight
New burners to fuel India’s sulphur demand
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Chinese group buys Tsumeb smelter for N$931m from Dundee
March 7, 2024 - Dundee Precious Metals sold
the Tsumeb Smelter to Sinomine Resources Group’s subsidiary for US$49
million. The company announced Thursday that it had sold the
smelter, including all associated assets and liabilities, by disposing
of all the issued and outstanding shares it indirectly holds in Dundee
Precious Metals Tsumeb Holding. Sinomine Resources Group is a
Chinese company founded in 1999 and has developed into a global mining
group with a comprehensive resource industrial chain. The
company’s main business and operation cover four segments: EV-lithium
material development and utilization, rare & light mineral (caesium &
rubidium) development and application, geo-tech services & mining
property development. Sinomine’s business covers more than 40
countries worldwide, including Canada, the US, the UK, Norway, Zambia,
Congo (DRC), Zimbabwe, Uganda, Indonesia, Malaysia, and other regions in
Asia, Africa, Europe, America, and Oceania. Dundee Precious Metals
will transfer all assets and liabilities associated with the Tsumeb
smelter to Sinomine debt-free and cash-free, subject to normal working
capital adjustments. Dundee has also made limited representations and
warranties and provided certain indemnities to Sinomine customary with
transactions of this nature, subject to a liability cap equal to 50% of
the purchase price. The cash received by Dundee Precious Metals on the
closing of the deal will be less than a US$5 million holdback to be held
in escrow for six months to secure the company’s indemnity obligations
under the agreement. In addition, Dundee Precious Metals is
entitled to be paid all cash collected from IXM SA concerning a positive
balance in metals exposure outstanding at Tsumeb, estimated to be
approximately US$17.2 million, which will constitute an increase in the
purchase price. The transaction is subject to customary closing
conditions, including approval under the Namibia Competition Act and
approvals required from Chinese regulatory authorities for overseas
investments. It is expected to close in Q3 2024. Dundee
Precious Metals expects to use the proceeds from the transaction to
strengthen its balance sheet further and support its core mining
business in line with its disciplined capital allocation framework.
David Rae, Dundee Precious Metals President and CEO, said the sale of
the Tsumeb smelter is consistent with their strategic objective of
focusing on gold mining assets and simplifying our portfolio in the
future. “We are extremely proud of the investments that we have
made to transform Tsumeb’s operational and environmental performance
into a specialized custom smelter with a highly skilled workforce,” Rae
said. He thanked Namibia’s government, the Tsumeb community and
our employees for their support over the past 13 years. “We will
work closely with Sinomine to ensure a smooth transition to support a
successful future for the operation and its stakeholders,” Rae said.
Dundee Precios Metals acquired the smelter in 2010 to secure a
processing outlet for the complex concentrate produced by the Company’s
Chelopech mine in Bulgaria. With developments in the global
smelting market and changes in the quality of the Chelopech concentrate,
Dundee Precious Metals can place its Chelopech concentrate at several
other third-party facilities, providing secure and reliable processing
alternatives at favourable terms. Cutfield Freeman & Co. Ltd.
acted as DPM’s financial adviser in the transaction.
Alleima launches new super-duplex tube for acids
March 4, 2024 - Alleima, a global manufacturer of high value-added
products in advanced stainless steels and special alloys, has introduced
new advanced super-duplex tube tailored for acids. SAF 3006 is a
high-alloy duplex stainless steel tailored to enhance corrosion
resistance in acidic and caustic environments. The new alloy, an upgrade
to traditional super-duplex stainless steels, adds to the company’s
growing duplex portfolio. The main application is heat exchangers in the
chemical and petrochemicals industries. “We’re thrilled to welcome
this new super duplex to our expanding duplex family. It provides that
‘missing duplex tool’ for customers battling acids in heat exchangers,
giving them that extra edge. With the addition of SAF 3006 (UNS S83071),
we strengthen our presence in duplex materials tailored for acidic
corrosion, where we see strong growth potential. Applications may
include caustic evaporators, acid coolers and evaporators,” says Eduardo
Perea, Market & Product Manager EMEA at Alleima Tube Division. Alleima
pioneered the ‘duplex revolution’ of the 1960s and 1970s, introducing a
cost-efficient stainless-steel alternative to more expensive nickel
alloy grades. The company continues to innovate in this area. Duplex
grades, with a 50-50 austenitic-ferritic structure, offer more than
twice the strength of standard stainless steels and superior corrosion
resistance. The groundbreaking SAF 2507 (UNS S32750), introduced
by Alleima almost four decades ago in 1985, set the industry standard
for combatting wet corrosion in a diverse range of industrial
applications. Renowned for its exceptional performance in corrosive
conditions, SAF 2507 offers excellent resistance to stress corrosion
cracking (SCC) in chloride-bearing environments, as well as to pitting
and crevice corrosion. “SAF 3006 will complement SAF 2507 in
dealing with corrosive conditions in heat exchanger tubing exposed to
hydrochloric, sulphuric, formic or other acids. This is our super duplex
tailored to resist acids,” says Perea. “From an R&D perspective,
this new super duplex reflects a sharper focus on optimizing the
material for acid corrosion resistance. Previously, most of our duplexes
were developed with chloride resistance as the main focus, with high PRE
levels to resist pitting and crevice corrosion. Resistance to acidic
conditions was less prioritized. Now, we have fine-tuned the chemical
composition to resist acidic environments better. This involves a high
chromium content of 30 % and a molybdenum level of 3.2 % to maintain
good structural stability and balancing of the alloying elements,” says
Daniel Gullberg, Manager of Product Development CRA. “SAF
3006 is an upgrade over existing duplex grades facing
higher-than-desired corrosion rates and where extended equipment
lifetime is wanted. You get all the benefits of traditional duplex steel
in terms of strength, lighter weight and cost-efficiency, but tailored
to resist acids. It can be used in acid production plants with or
without seawater cooling,” says Oscar Öhlin, R&D Engineer at Alleima.
SAF 3006 will be produced in Alleima’s fully integrated value chain,
from R&D to end product, with tight quality control and a strong focus
on sustainable production. The tube is based on more than 80 % recycled
steel and melted and produced using a high degree of fossil-free energy
sources. Seamless tube and pipe in SAF 3006 will be supplied in standard
heat exchanger dimensions. “The introduction of SAF 3006 marks the
ongoing evolution of the duplex revolution Alleima started decades ago –
now tailored for acidic conditions in heat exchangers. We look forward
to collaborating with customers to advance their needs,” concludes Tom
Eriksson, Executive Vice President and Head of R&D at Alleima.
France offers loan to New Caledonia nickel firm
Prony to avert collapse
February 15,
2024 - France has agreed to provide a 140 million euro ($150 million)
loan to Prony Resources to avert the collapse of the New Caledonian
nickel producer as Paris pursues negotiations to salvage the Pacific
territory’s loss-making nickel industry. Prony Resources is one of
three nickel processors in the French territory of New Caledonia that
face insolvency as high costs and political tensions have hit
profitability while rising Indonesian supply has dented international
prices. The French government has approved the loan in addition to
40 million euros in annual energy subsidies for Prony proposed in a
wider package for the industry that Paris aims to sign off this month,
Sonia Backes, president of New Caledonia’s southern province, said on
Thursday. “This loan will give us time to find a buyer,” Backes
told local broadcaster La 1ere Nouvelle Caledonie, adding the funds
should allow Prony Resources to continue operating until 2026.
Prony Resources spokesperson Adelie Garaud Ballande said negotations
were still underway on the terms and conditions of the loan. “At
this stage, nothing has been signed and sealed,” she said via email.
“The amount of the emergency loan to be granted by the State will give
us time to make every effort to attract an investor.” France’s
finance ministry said the proposed loan was subject to an overall
agreement being reached on the New Caledonian industry. The
southern province where Prony’s operations are based is one of several
shareholders in the company. Commodity merchant Trafigura also has a 19%
stake. Rothschild & Co has been mandated to find a new investor
for Prony, Backes said. A spokesperson for Rothschild did not
immediately respond to a request for comment. Paris had offered
similar aid to Koniambo Nickel SAS (KNS) but its co-owner Glencore said
the support was insufficient, announcing this week it was halting output
at KNS’ processing plant for six months while it sought a buyer for its
stake. New Caledonia’s third nickel processor is SLN, in which
French miner Eramet has a majority stake. Eramet has said it will not
provide further funding to cover losses at the business.
Kazakh-Italian Roundtable Concludes with $1.5 Billion in Signed Deals
January 19, 2024 – President Kassym-Jomart Tokayev addressed
Italian business people at the Kazakh-Italian roundtable in Rome on Jan.
18, witnessing the signing of four strategic documents, reported the
Akorda press service. The roundtable gathered top management from
nearly 30 Italian companies. Kazakhstan’s Samruk Kazyna Sovereign
Wealth Fund and Balestra signed an agreement defining the terms of the
implementation of a project to build a sulfuric acid plant in the Suzak
district in the Turkistan Region. The capacity of the plant, which will
supply sulfuric acid to the companies of the Kazatomprom national
company, will be 800,000 tons per year.
https://astanatimes.com
First Quantum to halt Ravensthorpe nickel mine
January 15, 2024 - First Quantum Minerals (FQM) will reduce its
operating activities at Ravensthorpe Nickel Operation (RNO) with
suspension of mining operations at the Shoemaker Levy ore body and
bypassing the high-pressure acid leach (HPAL) circuit.
Existing ore stockpiles will continue to be processed through the
Atmospheric Leach circuit providing significant mining and processing
cost reductions. This new operating model represents a three-year
plan under which RNO will maintain production of nickel concentrate from
ore stockpiles before recommencing mining activities at Hale Bopp and
Halley’s ore bodies. The three-year plan represents the anticipated
period for weaker nickel prices. The decision results from the
significant downturn in the nickel price experienced during 2023,
combined with currently higher operating costs in Western Australia, and
a requirement to improve the financial viability of RNO at current
nickel prices. The cessation of mining and associated processing
activities at RNO will reduce the company’s directly employed workforce
at the site by approximately 30%, with contractors to be redeployed by
their employers. RNO General Manager Scott Whitehead said
reducing the mine’s operating activities for a sustained period was the
best decision for the company, workforce and local region.
“Transitioning to a new operating model will allow us to continue to
produce and export our nickel product, which is a critical mineral and
has a lower carbon footprint than other suppliers. The operational
changes will ensure RNO remains viable longer term and we will retain
most of our residential and FIFO workforce, thereby supporting the
communities of Hopetoun and Ravensthorpe and providing income for the
region and Western Australia,” Mr. Whitehead said. “It’s important
we position ourselves to respond in a timely manner to future
improvements in the nickel price by being able to reactivate our mining
activities at the preferred time.” RNO will remain a significant
local nickel concentrate exporter, expecting to produce on average
approximately 16,000 contained tonnes per annum over the next three
years. RNO produces an ESG-focused, compliant battery grade nickel which
is in the lowest quartile of CO2 emissions globally and will be
increasingly critical to industries and consumers in the United States
and European Union as part of the transition to a decarbonized economy.
The World-Class Kamoa-Kakula Copper Complex Partners With
Elessent Clean Technologies for MECS® Sulfuric
Acid Plant
January 9, 2024 - The Kamoa-Kakula Copper Complex
(Kamoa-Kakula), a joint venture between Ivanhoe Mines, Zijin Mining Group
and the government of the Democratic Republic of Congo (DRC), has partnered
with Elessent Clean Technologies (Elessent) to install a new 2,500 metric
tonne per day (MTPD) smelter off-gas MECS® sulfuric acid plant. In conjunction with global EPC partner,
China Nerin Engineering Co. Ltd. (NERIN), the new acid plant will be part of
a new 500,000-tonnes-per-annum direct-to-blister flash copper smelter that
is under construction at Kamoa-Kakula, as part of its Phase 3 expansion.
Upon completion of the Phase 3 expansion, Kamoa-Kakula is projected to be
the fourth largest copper operation globally. “At
Kamoa-Kakula we aim to set a new industry standard by being the greenest
major copper mine in the world. It helps that DRC not only has an incredible
mineral endowment, but also has an abundance of clean hydroelectricity to
power its mining industry. However, we also need the right technology to
extract the copper in a sustainable way. By using the MECS® acid
plant design and its incorporated technologies, our new plant helps achieve
our path to net zero,” said David Mitchell, Kamoa-Kakula’s Senior Project
Manager for the smelter project.
The MECS® sulfuric
acid process incorporates state-of-the-art technologies, such as the MECS® pre-conversion
technology and the MECS® DynaWave® gas
cleaning technology. DynaWave® scrubbers,
the gold standard in gas cleaning applications, clean and condition the
upstream off gas of the smelting furnace at the sulfuric acid plant. The
MECS® pre-conversion
technology is a novel approach for processing off-gas streams with elevated
sulfur-dioxide concentrations while consuming significantly less power.
“Kamoa-Kakula is one of the world’s fastest-growing major copper
operations. Partnering with NERIN on the mine’s greenfield smelter complex
is very exciting. It is a great honor to work with the owners of what is
anticipated to be one of the greenest major copper operations on the
planet,” said Eli Ben-Shoshan, CEO, Elessent Clean Technologies.
For decades, copper has been essential in industries like civil and
building construction, machinery, and power transmission. Recently, however,
copper demand has seen a steady increase due to its position as a critical
metal in the energy transition, which includes electric vehicle (EV)
technology. In fact, copper is one of the most vital metals in the energy
transition and the shift to EVs. Copper is essential throughout the entire
EV value chain, including use in everything from EV manufacturing to
charging stations and supporting infrastructure. Because of the metal’s high
durability, high conductivity, and efficiency, it has become indispensable
to the industry.
The Kamoa-Kakula Copper Complex has been
in commercial operations since July 2021. The operation is currently
undergoing its Phase 3 expansion, which will increase copper production to
over 600,000 tons of copper per year from Q3 2024.
CRU acquires leading fertilizer and chemical industry
publications from BCInsight
January 4, 2024 - Today, CRU, the global commodities experts, announces
it has acquired a portfolio of leading fertilizer and chemical industry
publications from BCInsight. The strategic acquisition will
reunite the Fertilizer International, Nitrogen+Syngas and Sulphur
publications, with their sister conferences owned by CRU. These
will be combined as part of CRU’s new Communities business unit which
will seek to strengthen engagement and facilitate knowledge-sharing and
networking across the fertilizer and wider chemicals industries.
Nicola Coslett, CEO of CRU Communities at CRU said, “I am delighted to
bring these publications back into the CRU family and to welcome Lisa
and her team to CRU. This acquisition aligns perfectly with our
mission to provide comprehensive and valuable resources to the global
fertilizer community. We have worked as partners for many years, and I
am confident that, together, we will create an even more vibrant and
dynamic community that fosters innovation and collaboration
opportunities to our clients who are at the centre of our fertilizer and
chemicals communities.” Chris Lawson Head of Fertilizers at CRU,
said “Expanding technical expertise alongside our unrivalled team of
dedicated and highly experienced analysts will enhance CRU’s ability to
deliver even more comprehensive and insightful information to our
clients. With so many new entrants into the ammonia, phosphate and
fertilizer industries, the need for technical knowledge and insights has
never been more important.” Lisa Connock, Director and Technical
Editor at BCInsight, concluded, “After working closely with Nicola and
CRU for so many years, it was clear CRU Communities would be a great
home for our publications. CRU’s fertilizer and related
conferences have long been recognised as premier events in the sector,
attracting industry leaders, experts, and key stakeholders from around
the world. I am incredibly proud of the community we have built, and I
look forward to serving our customers with an even stronger offering as
we embark on a new phase of growth together.” The magazines will
continue to operate under their existing names, maintaining the
commitment to delivering high-quality technical content and meaningful
market insights to readers. The acquisition will allow the magazines to
leverage CRU’s extensive data and thought leadership to further enhance
reach and influence, across the whole fertilizer industry.
New burners to fuel India’s sulphur demand
January 4, 2024 - India's consumption of sulphur is expected to
rise in 2024, supported by new sulphur burners that will reduce the
country's reliance on imports of sulphuric acid. New sulphur
burning capacity on the east coast of India is expected to lift the
country's sulphur demand, with fertilizer producer Coromandel's
Visakhapatnam (Vizag) burner already operational since 25 September
2023. Fertilizer producer Iffco's sulphur burner at Paradip is also
expected to come on line in the first quarter of 2024. The two burners
will add 400,000 t/yr of sulphur demand and produce 1.2mn t/yr of
sulphuric acid when fully operational, according to Argus calculations.
Rising sulphur demand is displacing some sulphuric acid imports. India's
imports of sulphur during January-September 2023 rose by 10pc from a
year earlier to 1.15mn t, GTT data show, with the bulk coming from the
UAE. A total of 106,800t arrived from Russia, an all-time high for
India. But sulphuric acid imports during the same period fell by 3pc
with fewer arrivals from China and the Philippines. Deliveries from
China fell by 67pc to 127,400t, while imports from the Philippines
slipped by 28pc to 109,700t. Supply choices are ample for sulphur
buyers in India, as most consumers are also able to import from
non-mainstream Middle East destinations that produce relatively lower
priced crushed lump sulphur compared with their granular counterparts.
High domestic availability, on the back of elevated operating rates
across most Indian refineries for most of 2023, may also cater to some
of the new sulphur demand. Firm demand for transportation fuels
lifted crude throughput levels at refiners during April-June 2023 with
strong economic growth and a late start to monsoon rains. Crude
throughput at state-controlled refiner Hindustan Petroleum (HPCL) rose
to a record high of 435,000 b/d during the period, up by 12pc from
387,000 b/d a year earlier after its refineries operated at 106pc of
capacity. Crude throughput from fellow state-controlled refiner IOC was
1.45mn b/d during April-October 2023, exceeding its initial target of
1.42mn b/d. Planned refinery capacity expansions from 2024 will
also result in more domestic production of sulphur. HPCL is planning
to expand the capacity of its Vizag refinery from 166,000 b/d to 270,000
b/d. Argus forecasts India's total sulphur demand to rise to 3.5mn
t in 2024, up by 9pc from 3.2mn t in 2023. While domestic refineries are
likely to cater to this new demand, prices of sulphur relative to
sulphuric acid and fertilizer prices will remain a key deciding factor
for demand in 2024.
www.argusmedia.com