According to reports, Xinfa Group has shut down an aluminium production line after an explosion at a plant in the northwestern Chinese region of Xinjiang.

The accident caused the company to shut down annual smelting capacity of around 500,000 tonnes at the plant north of the Xinjiang capital of Urumqi, the source said, declining to be identified as he was not authorised to speak to the media.

The closure, which has exacerbated supply concerns after flooding hit the smelting heartland of Shandong earlier this month, sent Shanghai aluminium prices to their highest in almost 10 months on Tuesday, at 14,455 yuan ($2,046.58) a tonne.

Xinfa is working to restart the production as soon as possible, the source said. The company has about 1.9 million tonnes of smelting capacity in Xinjiang.