Mercuria and Glencore Said to Vie for Venezuela Aluminum Deal
The talks could give the traders access to 430,000 tons of annual aluminum output as Venezuelan production remains under state control.
- On Friday, London-listed miner Glencore and Swiss-based commodities trader Mercuria Energy emerged as firms pursuing a deal for Venalum, Venezuela's largest aluminum smelter.
- Located in the industrial hub of Puerto Ordaz, Venalum has the capacity to produce roughly 430,000 tons of primary aluminum annually, relying on Venezuela's abundant hydroelectric power resources.
- Mercuria is working with private mining investment firm Heeney Capital, while Glencore has historical ties to the nation's aluminum sector dating back more than two decades following the ouster of former leader Nicolas Maduro.
- Global aluminum prices have climbed about 9% this year due to supply tightness from Middle Eastern tensions, while China produces around 60% of the world's aluminum and operates near a government-imposed capacity ceiling.
- No final agreement has been reached, and talks could still fall apart, sources stated; spokespeople for Glencore and Mercuria declined to comment on the potential deal.
12 Articles
12 Articles
The mining company Glencore and the marketing company Mercuria Energy, based in Switzerland, are among the companies interested in an agreement related to the largest aluminum foundry in Venezuela, Bloomberg News reported. Both companies have separate conversations with the Venezuelan government about an agreement for the Venalum foundry, which [...] The Glencore and Mercuria entry seek an agreement with the government of Venezuela by Venalum, a…
Mercuria and Glencore Said to Vie for Venezuela Aluminum Deal
Mercuria Energy Group Ltd. and Glencore Plc are among firms interested in a deal for Venezuela’s largest aluminum smelter, in what would mark a significant push by top commodity traders into the country’s beleaguered industrial sector.
Redacción (ALN).- The international marketers of raw materials Mercuria Energy Group Ltd. and Glencore Plc evaluate to reach an agreement with the Venezuelan government regarding Venezolana de Aluminio (Venalum), the main foundry of this metal in the country. According to information released by Bloomberg, the talks are kept confidential and could be [...] The Mercuria and Glencore entry negotiate with the government an agreement on the state fo…
Although it is not clear what structure a possible agreement would have, its closure would represent a major incursion of large operators of raw materials into the deteriorated Venezuelan industrial sector.
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