Last checked at 21 Sep 2011 12:12
Aluminium Bahrain B.S.C. (Alba) has been informed by the Bahrain Petroleum Company (Bapco) that the National Oil and Gas Authority of Bahrain (NOGA) has issued a directive to increase the price of natural gas supplied to Alba from US$1.50 per million British thermal units (MMBTU) to US$2.25 per MMBTU effective 1 January 2012. A price increase had been expected due to announcements by NOGA in 2010. If the notified price increase takes effect, Alba expects that it would result in an increase of approximately US$85 million in Alba's cost of sales for the year 2012 based on its expected production level.
Bapco also indicated that NOGA is initiating a comprehensive study of the long-term natural gas supply and demand in the Kingdom of Bahrain, including the need for imports. Bapco stated that the study will also address the need for establishing a new gas pricing structure in the Kingdom of Bahrain after 2012.
ENDS
Note:
Alba has been consistently ranked as one of the largest aluminium smelters in the world, and is known for its technological strength, global competitiveness and innovative policies. Alba produces more than 860,000 metric tonnes per annum of aluminium which meet or exceed the industry standard for purity, with products including standard and T-ingots, extrusion billets, rolling slab, propertzi ingots, and molten aluminium. It has also maintained a strong track record of operational safety and environmental compliance.
For further details, please contact Investor &Public Relations Manager
Tel: (973) 17 835100(direct)
Fax: (973) 17 833822
E-mail: eline.hilal@alba.com.bh
Date: September 21, 2011