Hydro completes sale to Glencore
01 Diciembre 2023 - 9:30AM
Hydro has completed the USD 1.11 billion transaction for
the sale of 30 percent interest in the Brazilian alumina refinery
Hydro Alunorte and Hydro’s 5 percent interest in the bauxite
producer Mineracão Rio do Norte (MRN), together with Vale’s 40
percent stake in MRN.
“We are looking forward to work with Glencore to further develop
Alunorte. Glencore has broad industrial experience within metals
and mining, which adds to the significant progress our bauxite and
alumina area has made to bring down the footprint of alumina
production. This enables Hydro to strengthen our position in
low-carbon aluminium,” says President and CEO, Hilde Merete
Aasheim.
Hydro and Glencore will continue efforts to reduce carbon
emissions from Alunorte through the fuel switch project that aims
to substitute fuel oil with LNG, and the electrification of
boilers. This will bring Alunorte to the first decile on the global
carbon curve already in 2025, positioning Alunorte as a leading
supplier of low-carbon alumina. The partners are committed to
continuing the development of social projects to improve the lives
and livelihoods of nearby communities.
"This transaction is an important step to deliver on Hydro’s
strategy. Alunorte remains a core strategic asset for Hydro and is
a key source of low-carbon alumina supply to our primary aluminum
smelters,” says Aasheim.
The total enterprise value for the transaction is USD 1.11
billion, which was adjusted by USD 244 million for 30 percent of
Alunorte’s net debt and deviation from normalized working capital
as of June 30, 2023. The enterprise value and net debt exclude
asset retirement obligations of USD 40 million on a 30 percent
basis. The parties have agreed to a post-closing price adjustment
based on the financial performance of Alunorte and Hydro expects to
pay the full capped amount of USD 55 million in Q1 2024.
Alunorte will continue to be consolidated in Hydro’s financial
accounts. There will be no remeasurement or recognized gain related
to this transaction.
Following the sale, Hydro remains the largest shareholder of
Alunorte with 62 percent ownership. Glencore owns 30 percent of
Alunorte, while the remaining four minority shareholders
collectively own 8 percent.
Investor contact: Martine Rambøl
HagenMartine.Rambol.Hagen@hydro.com +47 91708918
Media contact: Halvor MollandHalvor.Molland@hydro.com +47
92979797
Lucapa Diamond (TG:NHY)
Gráfica de Acción Histórica
De May 2024 a Jun 2024
Lucapa Diamond (TG:NHY)
Gráfica de Acción Histórica
De Jun 2023 a Jun 2024