Aluminium Bahrain ALBH 3rd Quarter Results

  Aluminium Bahrain (ALBH) - 3rd Quarter Results

RNS Number : 3078Q
Aluminium Bahrain B.S.C.
05 November 2012

Alba Reports Q3 2012 Results: Alba still generating cash despite low LME

· Low LME prices dragging down industry profitability

· Physical demand remains very tight despite low LME prices

· Alba set to increase capacity on Pot Line 5

Q3 2012 Industry Highlights:

· World consumption goes up by 3.9% while world production down by 2.4%

· Demand for aluminium remains very tight on the back of strong North
American, MENA and Asian demand

· The LME cash average of US$ 1,922 mt versus US$ 2,400 mt in Q3 2011

Q3 2012 Alba Highlights:

· Tim Murray appointed CEO effective October 1, 2012

· Alba's settlement of RICO case with Alcoa has a total value of US$ 447
million consisting of US$ 85 million cash component along US$ 362 million from
long-term alumina sales agreement

· Increased production capacity in Pot Line 5 through the successful
implementation of the 1600 mm long anode

Q3 2012 Financial Highlights:

· Sales for the quarter at US$ 457 million

· Adjusted EBITDA totalled US$ 35 million driven by lower LME prices and
higher gas prices

· Net Income was (US$ 35) million driven by lower LME prices, higher gas
prices and unrealised derivative losses

· Free Cash Flow was US$ 37 million impacted by lower LME prices and higher
gas prices which was partially offset by working capital management 

Q3 2012 Alba Priorities:

· Accelerate AlbaSafeWay programme

· Launch of bankable feasibility study for Line 6 by year-end

· Finalise long-term contract to secure gas and power

Aluminium Bahrain B.S.C.  (Alba) announced  the release of  its third  quarter 
2012 results on Sunday, November 4, 2012.

Commenting on the Q3 2012 results, Alba's Chief Executive, Tim Murray said:

"Despite the low LME levels,  Alba was able to  still generate free cash  flow 
while the majority of  the world's smelters are  operating cash negative.  The 
company's focus  on  strengthening  its  competitive  edge  through  improving 
production processes  across the  plant has  seen the  production on  pace  to 
surpass 2011 record."

The Chairman of Alba's Board of Directors, Mahmood Hashim Al Kooheji added:

"Alba's resilient business model  underpins the company's healthy  performance 
amid the downtrend of LME prices. This has enabled the company to maintain its
position as a flagship for Bahrain's economy and a key driver to the growth of
the kingdom's aluminium sector.

I would also like to  express my thanks to  the Executive Management team  for 
demonstrating leadership in directing the company's successful operations  and 
for the team work and support showed by the workforce."

Alba's Chief Executive, Tim Murray, Acting Chief Finance & Supply Officer, Ali
Al Baqali and Investor & Public Relations Manager, Eline Hilal will be holding
a conference call on  November 05 2012 to  discuss Alba's performance for  the 
third quarter of  2012 as  well as outline  the company's  priorities for  the 
remainder of this year.



Alba has been consistently ranked as one of the largest aluminium smelters in
the world, and is known for its technological strength, global competitiveness
and innovative policies. Alba produces more than 860,000 metric tonnes per
annum of aluminium which meet or exceed the industry standard for purity, with
products including standard and T-ingots, extrusion billets, rolling slab,
properzi ingots, and molten aluminium. It has also maintained a strong track
record of operational safety and environmental compliance.

Photo Caption 1:

Alba's Chairman, Mahmood Hashim Al Kooheji

Photo Caption 2:

Alba's Chief Executive, Tim Murray

For further details, please contact Investor & Public Relations Manager, Eline

Tel: (973) 17 8335100 (direct)
(973) 39 907255 (mobile)

Fax: (973) 17 833822


Date:  November 4, 2012

                     This information is provided by RNS
           The company news service from the London Stock Exchange


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