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- Alumina’s (AWC) joint venture partner has secured a multi-year re-powering agreement for the Portland Aluminium Smelter in Victoria
- The partner, Alcoa Corporation, has signed five-year agreement with AGL Energy, Alinta Energy and ASX-listed Origin Energy (ORG) to supply electricity to the smelter
- Meanwhile, the Federal and Victorian Government will provide $19.2 million each every year for four years to fund the smelter
- On the market this afternoon, Alumina is down 1.18 per cent and is trading at $1.68 per share
Alumina (AWC) joint venture partner has secured a multi-year re-powering agreement for the Portland Aluminium Smelter in Victoria.
The joint venture partner, Alcoa Corporation, has signed five-year agreements with AGL Energy, Alinta Energy and ASX-listed Origin Energy (ORG) to supply electricity to the smelter.
Meanwhile, The Federal Government will provide up to $19.2 million a year for four years to support the power market scheme, the Reliability and Emergency Reserve Trader. In addition, the Victorian Government will match the Federal government funding.
Alumina CEO Mike Ferraro welcomes the supply agreement, which will allow the Portland smelter to continue.
“In addition, both the Commonwealth and Victorian Governments have in principle committed welcome funding packages to ensure the smelter’s operations can continue and contribute to the stability of the South East Australian power grid,” he said.
Aloca says the agreement will recognise the smelter’s ability to rapidly shred load when required to help protect the power grid from unexpected interruptions.
“On behalf of the Portland Aluminium joint venture partners, I recognise everyone’s cooperation and dedication in reaching the energy agreements that help to improve the smelter’s competitiveness,” Alcoa President and CEO Roy Harvey said.
“We look forward to finalising the Australian and Victorian government agreements, which underscore the smelter’s importance to the economy and the vital role it plays in securing Victoria’s electricity grid,” he added.
On the market this afternoon, Alumina is down 1.18 per cent and is trading at $1.68 per share on 2:25 pm AEDT.
