The large drop in the price of aluminum on the world stock markets during the last week to the lowest level in the past four years does not cause any serious problems for the bankrupt Aluminum Plant. That "loss" compensates for the increase in the premium in the amount of about 300 dollars per ton, it was confirmed to "Vijesta" unofficially from that company.
In the middle of last week, the average price of aluminum on the London Metal Exchange (LME) fell to the level of $1.640 per ton before recovering to $1.678. KAP previously announced that with a price of 2.100 to 2.200 dollars per ton, they would break even, which is why part of the losses are still covered by the state with citizens' money through its company Montenegro Bonus, which manages KAP.
Aluminum market analyst Goran Đukanović says aluminum price premiums (ie the LME price premium paid by buyers to producers for immediate delivery) rose sharply during January, first in the US and then in other major areas of the world.
"Premiums cover aluminum handling costs during transport and insurance costs and are an indicator of the regional supply and demand relationship. The increase in premiums came as a reaction to increased demand, primarily from the automotive industry in the US, shortly after several electrolysis plants in the US were closed, although bad weather conditions and cold weather during January also contributed to the increase due to the difficulty of supplying metals to end customers. , explained Đukanović. He stated that an interesting phenomenon is happening on the market, that premiums are reaching record values, and at the same time, the stock price of aluminum fell to the lowest level in the last four and a half years in January.
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