Aluminium Bahrain (Alba) has declared a force majeure on contracts, according to Reuters.
The halt in shipments comes after Iranian attacks in retaliation to US and Israeli strikes in the ongoing Middle East conflict.
The decision follows Norsk Hydro initiating a shutdown of its joint venture company, Qatalum, raising supply concerns.
Shipping through the Strait between Iran and Oman, which carries around one-fifth of oil consumed globally, has ground to a near halt after vessels in the area were hit with Iranian strikes.
“It’s because what’s happening in the Strait of Hormuz, we are not able to ship. So we’re producing, but the metal is here in Alba,” an Alba spokesperson stated to Reuters.
“The force majeure… is not due to any disruption or damage to the smelter facility,” the spokesperson added.
“The team is working intensively on identifying alternative shipping solutions to minimise the impact.”
More than 5 million metric tons of metal are shipped through the Hormuz Strait each year by smelters in Bahrain, Qatar, Saudi Arabia and the United Arab Emirates.
Bauxite and alumina travel other ways to feed the smelters.
Source: Reuters
