Norsk Hydro: Court orders Alunorte to cut production by 50% and halt operations at DRS2 bauxite residue disposal

Market News

Based on a request from public prosecutors in the state of Pará, Brazil, a regional court issued a ruling on Wednesday, February 28, demanding Hydro to cut production by 50 percent at its Alunorte alumina refinery, over worries that a rainstorm had led to leakages from Alunorte into the nearby river and causing contamination. The …

Based on a request from public prosecutors in the state of Pará, Brazil, a regional court issued a ruling on Wednesday, February 28, demanding Hydro to cut production by 50 percent at its Alunorte alumina refinery, over worries that a rainstorm had led to leakages from Alunorte into the nearby river and causing contamination.

The court further ruled that Alunorte shall halt operations at the DRS2 bauxite residue disposal, and that operations must not resume until the integrity of DRS2 has been fully verified and an operational license has been issued. Alunorte currently has an installation license, covering the construction and commissioning of DRS2.

Hydro is currently reviewing the implications of the court’s decision operationally and financially, as well as for its customers and employees of Alunorte, located in the region of Barcarena in the state of Pará.

Hydro is South America’s biggest aluminium company after acquiring Brazilian mining company Vale’s aluminium assets in the state of Pará in 2011.

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