While material continues to
trade in or close to AMM’s
range—a second buyer priced the majority of his deals
at between $2.05 and $2.20 per pound recently, while a producer
closed one truckload sale at $2.30 per pound last
week—sources agree that the capacity increase, coupled
with imports, could send the magnesium price below the $2 mark
later this year.
US Magnesium expects to increase annual capacity at its
Rowley, Utah, facility to 63,500 tonnes in mid-2012 from 42,000
tonnes previously (AMM, Oct. 10). Today, it is operating at a
capacity of 60,000 tonnes, a...