Aluminium and Energy in the EU

Karl-Heinz von Zengen, EAA Brussels, 27 March 2006

Aluminium End Uses - Europe 2001

Others 9% Building 26% Packaging 19%

Engineering 14% Transport 32%

Passenger-km per Person per Year

100000

EU 15, 2000
10000 1092

10024

1000 382 188 100 140

802

10

Source: DG TREN, European Commission

1 Walking Cycling Tram/Metro Railway Bus/Coach Pass. Car

Aluminium Use in EU Cars

300

kg aluminium per vehicle

250 200 150 100 50 0 1990

1995

2000 year

2005

2010

2015

Al in Cars - Relative and absolute Shares

40.00 35.00 30.00 25.00 20.00 15.00 10.00 5.00
Ford Fiesta Skoda Fabia Fiat Stilo Peugeot 307 Nissan Micra Nissan Tino Opel Corsa Chrysler PT Citroen C3 Ford Mondeo Mini Renault Laguna Peugeot 607 Toyota Prius Citroen C5 Opel Vectra Mercedes E class Renault VelSatis

Source: Mavel
0.00 0 50 100 150 200 250 300 350

Audi A4 Audi A2

Kg 1550

1450

Vehicle Weight by Generation

1350 1250

VW Vectra Golf Mk5 2 Toyota Corolla VW Golf Mk4 Astra Mk5

1150

Toyota Corolla

Vectra 1

1050

950

Vauxhall Cavalier Mk1 Toyota Corolla

Toyota Cavalier VW Corolla Mk3 Golf Mk3 Toyota Cavalier Toyota Ford Corolla Mk2 Corolla Escort MK5 VW Golf Mk2 Ford Escort MK4 Citroen BX Ford Escort MK3 Astra Mk2
1986 1988 1990 1980 1982 1984

Astra Mk4

Ford Focus Citroen Xsara

850

750

Ford Citroen Escort MK2 GS VW Astra Golf Mk1 Mk1

1970 1972 1974 1976 1978

Astra Mk3

Citroen ZX

Source: JaguarYEARS

1996

1998

2000

1992

1994

2002

2004

European Cars - Equipment Rates

100 90 80 70 60 50 40 30 20 10 0 Airbags ABS Anti Theft A/C Ewindow 1992 1996 1998 2002

European Cars - relative Material Shares

Material Shares in selected Passenger Cars Fiat Audi Punto A2 1,9 JTD 1,4 Steel Cast Iron Aluminium Magnesium Plastics Glass Rubber Ceramic Misc. 64,5 6,7 6,4 0 11,4 2,8 4,0 0,2 4,0 26,5 1,8 36,3 0,2 22,5 3,4 5,0 0,1 4,2 Skoda Nissan Peugeot Audi Fabia Tino 607 A4 1,9 Sdi 2,0 2,2 HDI 2,0 64,1 60,4 8,8 in steel 4,9 11,5 0,6 0,1 11,4 11,2 2,7 2,4 4,1 3,3 0,2 0,2 3,2 10,8 54,9 6,3 11,0 0,1 14,0 2,8 5,4 0,2 5,4 52,1 5,1 15,7 0,5 14,6 2,3 4,8 0,2 4,8

Renault Opel Ford Mercedes Laguna Corsa Mondeo C200 1,9 dci 1,2 16v 2,0 DI Sedan 53,5 62,4 8,5 in steel 9,9 7,2 0,1 0,1 13,7 13,6 2,9 2,7 5,9 4,3 0,2 0,2 5,3 9,4 55,2 11,4 8,3 0,1 13,2 2,2 5,3 0,1 4,3 54,2 10,7 10,8 0,2 13,3 2,6 4,7 0,1 3,4

Aluminium helps light weighting Cars

1400 1200 1000 weight [kg] 800 600 400 200 0 Ref.- Car
Source: fka Aachen

Minimum secondary weight saving

Maximum secondary weight saving

Primary state-of-theart weight reduction

1229 1003

Primary latesttechnology weight reduction

928

887

785

Primary state- Primary latestof-the-art technology weight weight

Upper final weight (Al-Car)

Lower final weight (Al-Car)

Energy Balance of one Material Cycle

Audi A3; 200.000 km driving distance
= fuels consumption (84,5%) = mainly weight driven ! + service + spare parts (3%)

87,5 % 6% production effort = 0,2% 6% 4% 2% Matl prod. on base of primary energy = - recycling bonus = effort for ELV = dismanteling, logistics, melting, ...

recycling efficiency
2 % benefit = 10 0,2 % effort

= benefit from ELV recycling

Source: Audi

Lifecycle Energy: Audi A2

400 GJ cumulated primary energy use
Audi A2, 55 kW; 895 kg; 6 ltr/100 km virtual Audi A2; 1047 kg; 6,57 ltr/100km
conventinal concept

Audi A2 with secondary aluminium

database: IfE / TH Mnchen and AUDI AG, I/ES & I/EG-34

200 GJ

break even after ~ 55.000 km

disadvantage decreases with lifetime 0 50.000 km

ASF advantage increasing

100.000 km
Source: Audi

driving distance / km

Aluminium Sector in Europe*, 2004

TOTAL =
MINING 15.6 mio tonnes ALUMINA 10.1 mio tonnes METAL 11.7 mio tonnes

PRODUCTION
4.6 mio tonnes BAUXITE 6 plants 7.8 mio tonnes ALUMINA 12 plants 5.2 mio tonnes PRIMARY Metal Production 38 plants

IMPORTS
11.0 mio tonnes Bauxite Net import 2.3 mio tonnes Alumina import

4.2 mio tonnes RECYCLED Metal1 276 plants

2.3 mio tonnes Net import

SEMIS

4.3 mio tonnes ROLLED 64 plants

3.1 mio tonnes EXTRUDED 333 plants

3.0 mio tonnes CASTINGS2 +2200 plants

1.1 mio tonnes Wire, powder, slugs...

* West and Central Europe (Former CIS excluded, except Baltic states) 1 In-house scrap remelting excl. 2 Integrated automotive producers incl.

Foil (22%)

Reduction of Electrolysis Energy for Aluminium

End Uses for Recycled Aluminium, 2003

Casting Alloys = +/- 2.7* million tonnes

Wrought Alloys = +/- 1.2* million tonnes

* EU-25. Semis-fabrication scrap excluded

Evolution of Recycled Aluminium, EU-15

Aluminium recycled in thousand tonnes per year

4.000 3.500 3.000

TREND

2.500 2.000 1.500 1.000 500 0 1980 1984 1988 1992

Year

1996

2000

2004

Includes refining production and tolled and purchased scrap intake of remelters. Foreign material excluded.

Global Old Scrap

16000
Old scrap (thousand tonnes)

14000 12000 10000 8000 6000 4000 2000 0

Other Consumer Durables Engineering Packaging Building Other Transport Automotive

FORECAST

x2

1950 1960 1970 1980 1990 2000 2003 2004 2010 2020
Aluminium in scrap
Source: GARC, 24.01.05

Global Aluminium Energy Flow, 2003

Bauxite 11 Alumina 650 Total Energy Stored in Use Since 1888 46,000 Finished Products (output) 2,900 Net Addition 2003: 1,700 Recycled Aluminium 2,300 Traded New Scrap 56 Lost to Application 10 Internal Scrap 1,200 Traded New Scrap 540

Primary Aluminium 2,200

Ingots 4,700

Fabricated and Finished Products (input) 4,900

Old Scrap 530

Bauxite Residues 4 and Water

Metal Losses 17

Landfill 150

Under Investigation 230

Values in PJ (1015J)

Source: GARC, 24.01.05

Emissions Primary vs Secondary

12.00

10.00

kg CO2 per kg AL
8.00 Electrolysis and Cast house 6.00

4.00

2.00

Bauxite mining and alumina production Transport melting and refining Recycled Scrap preparation

0.00 Primary

Best Practice and Transport Savings

450 400 411

Millions 350 tonnes of CO2 300

250 200

327

337

333 290

345

339

GHG Emissions Transport Savings Best Practice

242 202 2000 2005 2010 2015 2020

The potential for Al Industry to be Climate Neutral by 2020 could be accelerated implementing everywhere todays best practices

Lirecar Importance of Use phase for total emissions

100% 90% 80% 70%

End - of - Life USE PROD CREDIT

Greenhouse Gas Emissions

60% 50% 40% 30% 20% 10% 0% - 10% - 20%

MAX and MIN the range scenarios

are representing of different vehicle

MAX Ref.

MAX 900kg

MAX 750kg

MIN Ref.

MIN 900kg

MIN 750kg

Facts about Energy Intensive Industries Energy intensive industries, which cannot pass on costs,

have already invested in energy efficiency for decades like the aluminium industry Aluminium industry is working globally Incentives like ETS, RES etc. encourage the delocating of energy intensive industries Energy intensive industries find new homes in countries with less environmental legislation Final result will be more pollution in the world Finally, the energy efficiency policy in the EU has succeeded by closing down energy intensive industries

Aluminium Recycling
Aluminium recycling saves up to 95% of the energy

versus primary aluminium Export of scrap means export of energy Export of scrap means - on a global basis - higher pollution