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[Ferro-Alloys.com]Evraz’s total 2012 FeV production fell 13.8% to 14,381 mt compared to 16,683 mt in 2011.Evraz explained that total FeV production was lower due to decreased output in South Africa as the required volume of slag was not delivered to the processing plant due to the transportation strike in the country and lower production of vanadium slag.

 

Evraz ran FeV plants at capacity Evraz’s 2012 production of FeV at its own plants actually rose 14.8% to 7,259 mt compared to 6,321 mt in 2011. Production at third-party facilities, however, decreased 31% to 7,122 mt in 2012 compared to 10,362 mt in 2011. Evraz said that it increased production of FeV at its own plants in the Czech Republic and in Russia and operated them at maximum capacity in 2012 in order to meet improved market demand. “Throughout most of 2012, there were reports that Evraz has little material available for the spot market,” observed a trader. “We were not fully convinced at the time, but Evraz’s production data show the company really was lucky to be able to fulfill all its contract commitments.”

 

Evraz’s 2012 production of oxides, vanadium aluminum and chemicals rose 4.1% to 1,330 mt compared to 1,277 mt in 2011. Output of oxides, vanadium aluminum and chemicals was only 186 mt in the fourth quarter compared to 443 mt in the third quarter. Evraz said the decrease in volumes of oxides, vanadium and chemical was attributable to problems with primary feedstock availability in the US. An oil refinery fire in Venezuela sharply reduced shipment of vanadium feedstocks to the Hot Springs, AR, plant in the fourth quarter, significantly reducing vanadium oxide production, Evraz explained. That situation, however, has been corrected, according to Evraz, with the result that Hot Springs has enough feedstocks on hand to allow normal vanadium oxide production in the first and second quarters of 2013. Despite the resolved feedstock situation, Evraz cautioned that production of oxides, vanadium aluminum and chemicals in the first quarter of 2013 may be impacted by scheduled maintenance work at Hot Springs. A brief shutdown will occur in the first quarter when electrical equipment is upgraded in order to process vanadium-bearing slag. Evraz added that the shutdown is not expected to significantly affect production.