Hydro Annual Report 2011b

84
FINANCIAL AND OPERATING PERFORMANCE
Operational overview
Operational overview
Key Operational information 4)
Year
2011
Year
2010
% change
prior year
Alumina production (kmt) 5 264 1 976 >100 %
Primary aluminium production (kmt) 1 982 1 415 40 %
Realized aluminium price LME (USD/mt) 5)
2 480 2 113 17 %
Realized aluminium price LME (NOK/mt) 5)
13 884 12 674 10 %
Realized NOK/USD exchange rate 5,60 6,00 (7) %
Metal Markets sales volumes to external market (kmt) 6)
2 091 1 717 22 %
Rolled Products sales volumes to external market (kmt) 929 945 (2) %
Extruded Products sales volumes to external market (kmt) 536 529 1 %
Power production (GWh) 9 582 8 144 18 %
4) Amounts include Hydro's proportionate share of production and prices in equity accounted investments.
5) Including the effect of strategic LME hedges (hedge accounting applied).
6) Excluding ingot trading volumes.
Bauxite & Alumina
Bauxite & Alumina generated total revenues of about NOK 14.5 billion in 2011. Bauxite production in Paragominas reached
record levels amounting to 7.1 million mt since the acquisition date (8.2 million mt for the year). Alumina production from
Alunorte amounted to 5.3 million mt (5.8 million mt for the year). Bauxite & Alumina sourced roughly 2 million mt of
alumina in 2011. The business area employs around 2,900 people.
Primary Metal
Primary Metal generated about NOK 35 billion in total revenues in 2011. Production of electrolysis metal amounted to 2
million mt, from our plants in Australia, Brazil, Canada, Germany, Norway, Qatar and Slovakia. We delivered 2.5 million mt
of casthouse products to internal and external customers, from casthouses which are integrated with our primary aluminium
plants. Deliveries included about 0.9 million mt of extrusion ingot, 0.5 million mt of sheet ingot and 0.5 million mt of
foundry alloys and wire rod. We also sold about 0.6 million mt of standard ingot. The business area employs around 5,100
people.
Metal Markets
Metal Markets generated total revenues of around NOK 49 billion in 2011. The business area employs around 700 people at
plants and offices in Asia, Europe and North America. Our six remelters in Europe, two in the U.S. and one in Asia, produced
approximately 600,000 mt of metal products in 2011. We sold 3.3 million mt of metal products last year, including deliveries
from the casthouses integrated with our primary smelters. Of this figure, we sold approximately 2 million mt to external
customers.
Rolled Products
Rolled Products generated total revenues of approximately NOK 21 billion in 2011. The business area has locations in 12
countries, and employs about 4,000 people. In 2011, we shipped approximately 930,000 mt of rolled products from six
European plants and our plant in Malaysia.
Extruded Products
Extruded Products had total revenues of approximately NOK 20 billion from the sale of aluminium products in 2011. The
business area employs around 9,500 people. Our network of extrusion plants, including those dedicated to building systems,
delivered 536,000 mt of extruded products. About 75 percent of our total extrusion revenues came from our general extrusion
and tubing businesses and 25 percent came from our building systems operations.
Energy
Energy generated about NOK 6.4 billion in total revenues in 2011. The business area employs around 200 people, mainly in
Norway. We produced 9.6 TWh of renewable hydroelectric power, slightly above annual normal production. Production
during 2011 was impacted by high precipitation during the second half of the year, resulting in a strongly improved
hydrological balance at year-end.