CHICAGO Trafigura AG has made a bid for 32,000 tonnes of alumina, on sale from bankrupt aluminum producer Ormet Corp, in direct competition with Glencore Xstrata Plc.
Lucerne, Switzerland-based Trafigura offered to pay $8.54 million, or $267 per tonne, for sandy calcined metallurgical grade alumina that Glencore had already offered to buy, according to a purchase contract dated Nov. 19 and filed in U.S. Bankruptcy Court in Delaware.
The document is signed by Trafigura officials but not by executives from Hannibal, Ohio-based Ormet.
The price offered by Trafigura tops the $8.44 million, or $263.75 per tonne, offered by Glencore (amm.com, Nov. 15) by $100,000.
Like Glencore, Trafigura seeks to have the material delivered from Ormets alumina refinery in Burnside, La., to a midstream anchorage in the Mississippi River near New Orleans.
Ormet, which filed for bankruptcy protection in February, has said it is trying to sell what it considers to be excess assets, including raw materials such as alumina, anodes, caustic soda and bauxite, as well as finished goods. In addition, Ormet has is looking to sell excess equipment, office furniture, fixtures, vehicles and property (amm.com, Oct. 16).
Ormet has already received court approval to sell the Burnside refinery to Leetsdale, Pa.-based alumina producer Almatis Inc. for about $39.5 million (amm.com, Nov. 12).