Tuesday, April 05, 2005
Steel-making alloy vanadium hits new all-time peak
LONDON (Reuters) - Vanadium hit all-time highs in Europe Monday and the metal, which as an alloy is widely used in steel-making, may be set to extend gains as supply tightens, traders said.
Key producers South Africa and China have less metal available at a time when the steel market is in the midst of a global boom.
Traders said ferro-vanadium had traded as high as $125 a kg, with the market probably around $115/130, up from just below $100 two weeks ago and $60/70 at the beginning of March.
Feedstock vanadium-pentoxide, which gets converted into the alloy, was trading at around $28 a pound.
South Africa is the world's largest producer of vanadium, accounting for around 17,000 tons of world output of some 43,000.
China produces 16,000 tons. But less has been available for export due to its booming steel industry.
Key producers South Africa and China have less metal available at a time when the steel market is in the midst of a global boom.
Traders said ferro-vanadium had traded as high as $125 a kg, with the market probably around $115/130, up from just below $100 two weeks ago and $60/70 at the beginning of March.
Feedstock vanadium-pentoxide, which gets converted into the alloy, was trading at around $28 a pound.
South Africa is the world's largest producer of vanadium, accounting for around 17,000 tons of world output of some 43,000.
China produces 16,000 tons. But less has been available for export due to its booming steel industry.
