Related News

Alcoa has approved investments in Brazil that will total US$1.6bn in the company’s Brazilian upstream operations, including: a 2.1mn tonne per year (tpy) expansion of the Alumar consortium alumina refinery in Sao Luis, state of Maranhao; the creation of a bauxite mine in Juruti, in the state of Para, which will initially produce 2.6mn tpy; and modernisation of the Pocos de Caldas aluminium smelter, in the state of Minas Gerais.
“Our Brazilian operations are among the lowest cost facilities in our system as well as in the world,” says Alain Belda, Alcoa chairman and chief executive officer. “These investments, coupled with the ongoing expansion of captive energy production in Brazil, will further strengthen Alcoa’s position on the global cost curve and allow us to meet growing global demand needs.”
The Alumar alumina refinery will expand from about 1.4mn tpy to around 3.5mn tpy. Through its Alcoa World Alumina and Chemicals (Awac) venture with Alumina Ltd, in which Alcoa holds 60%, Alcoa will have a 54% interest in the expansion and its total share of output will more than double to 1,890,000 tpy.
The Alumar refinery expansion is expected to begin in November, 2005 and is expected to be completed in the first half of 2008.
Juruti possesses one of the world’s largest high-quality bauxite deposits, estimated at 695mn tonnes, with favourable logistics to the Alumar refinery. The Juruti mine will initially supply Awac’s needs at the Alumar expansion, with the ability for further expansions at low incremental investment.
The Juruti mine, over the last two years, conducted numerous community consultations, including three public hearings. A full installation permit was issued by the Para State government in August 2005.
Alcoa’s Pocos de Caldas plant is an integrated mining, refining and smelting operation. The smelting operations produce 93,000, tpy of aluminium. The modernisation – which will begin immediately – will provide for world-class environmental controls, lower emissions and costs, as well as improved operational efficiency, enabling sustainable profitable growth.