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China's May tin, zinc output hit by Yunnan power curbs - Antaike

Kitco News

* China's refined tin output fell 8.2% in May from the prior month to 14,036 tonnes, state-backed research house Antaike said on Wednesday, as power restrictions in the smelting heartland of Yunnan forced production cuts.

* Smelters of tin, aluminium and zinc were all asked to reduce electricity consumption in Yunnan, in southwest China, last month after severe drought limited the province's ability to generate hydropower.

* Although the situation has now improved, the normal power load has not yet been fully restored and June tin production is also set to be affected, Antaike said in its monthly survey of 20 smelters.

* Meanwhile, zinc and zinc alloy output from 51 Chinese smelters in May was 443,000 tonnes, up 6.3% year-on-year but down 2.1% from April on a daily basis, Antaike said, with daily production in Yunnan alone plunging 15.6%.

* In June, Yunnan output is seen falling another 7,500 tonnes month-on-month, or 9.1% on a daily basis. But a return from maintenance by smelters elsewhere will see overall output slip by only 3,100 tonnes to 440,000 tonnes, Antaike said.

(Reporting by Tom Daly Editing by Mark Heinrich)

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