BHP ships aluminium to Japan as transport strike ends in South Africa

Platts quoted Japanese trader as saying that BHP Billiton is expected to ship its first aluminium shipments from its South African smelters to Japan with the 2 1/2 week transport strike ending on May 27.

The trader said that a transport strike that began May 9 that led to a halt in Durban port operations and a slowdown at Richards Bay port, hitting cargo loading schedules. May aluminium cargoes would be leaving South Africa for Japan this week. Aluminium from the 700,000 tonnes per year Hillside smelter is usually exported to Europe and Asia.

He said that a container ship will leave for Asia from Durban and a bulk ship from Richards Bay. The 2 ships are likely to be carrying more than 10,000 tonnes of aluminium. Though BHP Billiton has not said when the ships would arrive in Yokohama and Nagoya, shipping sources put the travel time from South Africa to Japan at typically 30 days to 40 days.

Several Tokyo traders said that the delay in shipping of South African aluminium is likely to have little or no impact in the Japanese market as shipments from Australia and Russia are on schedule. Weaver Arrow, a geared bulk ship from Australia will arrive in Japan next week, followed by Emu Arrow later in June and Kite Arrow in July, carrying a total of more than 30,000 tonnes of aluminium.