Alcoa Corporation (NYSE: AA) intends to enter the growing
high-purity alumina market to address increasing demand for
sustainable products through a joint development project.
Alcoa of Australia Limited (AoA), a subsidiary of Alcoa
Corporation, has executed a binding term sheet with Western
Australia-based FYI Resources Ltd (ASX: FYI) for development
activities to produce high-purity alumina, or HPA.
AoA will hold a 65 percent ownership interest in the project,
which will have stages of development before potential
construction, in 2024, of a full-scale, 8,000 metric-ton-per-year
(mtpy) HPA plant. The development activities also set a pathway for
a future joint venture for the project, of which AoA would be the
manager and both parties would contribute specific intellectual
property.
“As a high-value product that will play an important role in a
low-carbon future, the production of HPA is strategically aligned
with Alcoa’s commitment to advance sustainably,” said Tim Reyes,
Alcoa Executive Vice President and Chief Commercial Officer. “This
project is a natural complement to Alcoa’s existing business that
builds on our expertise in alumina refining technology development
and our production capability.”
Market applications for the non-metallurgical alumina, which is
characterized by high brightness, resistance to corrosion, and
capacity to accommodate high temperatures, include materials
critical to the global energy transition, such as LED lighting that
consumes less power and lasts longer and lithium ion batteries used
in electric vehicles. Other high-tech applications include mobile
devices and products used in the medical and aeronautical
sectors.
The project follows a successful trial, in December 2020, that
used Alcoa feedstock to consistently produce HPA at more than
99.99% Al2O3 (aluminum oxide) purity.
“Alcoa and FYI have complementary skills, experience and
knowledge that combined will help to accelerate our entry into the
HPA market, which is expected to have a compounded annual growth
rate of nearly 20 percent to 2028,” Mr. Reyes added.
The term sheet outlines three phases for the development of the
project:
- AoA will contribute an initial $5 million, over 2021-2022, to
stage one project development activities that will include
additional production trials, as well as the detailed design of an
estimated 1,000 mtpy demonstration facility.
- In stage two, a demonstration facility would be constructed,
and detailed engineering undertaken for a full-scale HPA plant that
would produce 8,000 mtpy.
- Stage three would include the start of construction for the
full-scale plant.
Stages two and three are each subject to final investment
decisions. The full-scale facility is currently projected to cost
approximately $200 million, subject to detailed engineering
studies.
AoA would fund its pro-rata share of project capital and make
additional contributions to the demonstration and production
facility construction costs, subject to final investment decisions,
in consideration for its 65 percent ownership of the project.
About Alcoa Corporation
Alcoa (NYSE: AA) is a global industry leader in bauxite,
alumina, and aluminum products, and is built on a foundation of
strong values and operating excellence dating back 135 years to the
world-changing discovery that made aluminum an affordable and vital
part of modern life. Since developing the aluminum industry, and
throughout our history, our talented Alcoans have followed on with
breakthrough innovations and best practices that have led to
efficiency, safety, sustainability, and stronger communities
wherever we operate.
About Alcoa of Australia
Alcoa of Australia is owned by Alcoa World Alumina and Chemicals
(AWAC), an unincorporated global joint venture between Alcoa
Corporation and Alumina Limited that consists of a number of
affiliated entities that own, operate or have an interest in
bauxite mines and alumina refineries, as well as an aluminum
smelter, in seven countries. Alcoa Corporation owns 60 percent of
AWAC with Alumina Limited owning 40 percent.
Dissemination of Company Information
Alcoa intends to make future announcements regarding company
developments and financial performance through its website,
www.alcoa.com, as well as through press releases, filings with the
Securities and Exchange Commission, conference calls, and
webcasts.
Forward-Looking Statements
This press release contains statements that relate to future
events and expectations and as such constitute forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. Forward-looking statements include those
containing such words as “anticipates,” “believes,” “could,”
“estimates,” “expects,” “forecasts,” “goal,” “intends,” “may,”
“outlook,” “plans,” “projects,” “seeks,” “sees,” “should,”
“targets,” “will,” “would,” or other words of similar meaning. All
statements by Alcoa Corporation that reflect expectations,
assumptions or projections about the future, other than statements
of historical fact, are forward-looking statements. Forward-looking
statements are not guarantees of future performance and are subject
to known and unknown risks, uncertainties, and changes in
circumstances that are difficult to predict. Although Alcoa
Corporation believes that the expectations reflected in any
forward-looking statements are based on reasonable assumptions, it
can give no assurance that these expectations will be attained and
it is possible that actual results may differ materially from those
indicated by these forward-looking statements due to a variety of
risks and uncertainties. Additional information concerning factors
that could cause actual results to differ materially from those
projected in the forward-looking statements is contained in Alcoa
Corporation’s filings with the Securities and Exchange Commission.
Alcoa Corporation disclaims any obligation to update publicly any
forward-looking statements, whether in response to new information,
future events or otherwise, except as required by applicable
law.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20210930006040/en/
Investor Contact James Dwyer 412-992-5450
James.Dwyer@alcoa.com
Media Contacts Jim Beck 412-315-2909 Jim.Beck@alcoa.com
Jodie Read Alcoa of Australia 0404-800-335
Jodie.Read@alcoa.com
Alcoa (NYSE:AA)
Gráfico Histórico do Ativo
De Fev 2024 até Mar 2024
Alcoa (NYSE:AA)
Gráfico Histórico do Ativo
De Mar 2023 até Mar 2024