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Ferroglobe names COO, flags deeper production cuts

Ferroglobe PLC closed the sale of subsidiary Ultracore Polska Sp. z o.o, which manufactures cored wire in Poland, to an affiliate of Cedie SA for US$3.5 million.

Ferroglobe unit Silicon Smelters (Pty.) Ltd. also completed the sale of its remaining timberland in South Africa to Mphome Agric (Pty.) Ltd. for about US$8.6 million.

Additionally, Ferroglobe appointed Benoist Ollivier COO and deputy CEO, effective Oct. 1. Ollivier was most recently the company's executive vice president of operations for Europe, Africa and Asia.

In addition to earlier production curtailments, the company is taking steps to extend planned outages over the fourth quarter at several facilities in France, South Africa and North America to streamline operations, adapt production to reduced demand and release working capital.

The shutdowns are planned to last four to six months, according to an Oct. 4 release.

The company idled two ferrosilicon furnaces in Chateau-Feuillet in France on Sept. 30 and said a third at Laudun would be idled Nov. 15. It is also idling three silicon metal furnaces Oct. 7: two in Montricher and one in Laudun. Ferrosilicon production at Polokwane, South Africa, has been idled since Aug. 1, while production had been reduced at Ferroglobe's plant in Sabon, Spain.

In North America, after idling silicon metal furnace No. 4 in Bécancour, Quebec, on Aug. 30, it idled the No. 3 furnace at the facility Sept. 30.

Its Bridgeport, Ala., ferrosilicon facility has been idled since Sept. 1, with customer orders transferred to its Beverly, Ohio, facility.

The company added that it is reviewing production adjustments for manganese alloys.

CEO Pedro Larrea said the moves aim to reinforce a focus on adapting to the evolving market and taking actions to enhance and optimize the company's production footprint and overall competitiveness, with a strong emphasis on generating cash.

In June, Ferroglobe reached a definitive agreement for the sale of its Grupo FerroAtlántica SAU unit to TPG Sixth Street Partners for €170 million.