LONDON The silicomanganese market is facing a 101,000-tonne deficit this year while high-carbon ferromanganese is expected to be in surplus, according to Glencore Xstrata Plc.
Demand for silicomanganese and high-carbon ferromanganese will grow to 10.8 million tonnes and 4.46 million tonnes, respectively, this year against supply of 10.7 million tonnes and 4.51 million tonnes.
By 2017, high-carbon ferromanganese will also be in deficit as demand reaches 5.02 million tonnes vs. 5.04 million tonnes of supply, the company predicted.
But the silicomanganese surplus will narrow to 26,000 tonnes by 2017, it said, using figures from CRU Group.
Baar, Switzerland-based Glencore Xstrata bought the European manganese operations of Brazilian miner Vale SA last November and now operates three manganese furnaces.
The company expects to boost silicomanganese production to 88,000 tonnes in 2015 from nearly 16,000 tonnes in 2012, with ferromanganese production expected to reach 143,000 tonnes compared with slightly more than 17,000 tonnes in the same comparison.
AMM sister publication Metal Bulletins price for ferromanganese fell to 670 to 720 ($883 to $949) per tonne on a delivered basis in Europe Sept. 6 from 700 to 730 per tonne previously. The price for silicomanganese stalled at 760 to 810 ($1,011 to $1,079) per tonne delivered to Europe, down 10 on the low end of the range from Aug. 30.
A version of this article was first published in AMM sister publication Metal Bulletin