China's Henan Xichuan Aluminum has raised its primary smelting capacity to 200,000 mt/year, which is an increase of 54% from its previous capacity of 130,000 mt/year, a company source said Wednesday.
"The government's power rationing in the fourth quarter of last year kept us from raising capacity then, but the situation has improved and we've started up all the potlines this month and have now reached full capacity," the source said.
The company now expects to produce about 170,000 mt of aluminum in 2011, which is a sharp jump of 70% from the 100,000 mt achieved in 2010.
"Actual output last year was also affected by the power issues at the year-end," the source said.
Henan Xichuan sources alumina feed for its smelting operations from Henan refiners, on both a term and spot contract basis.