Pittsburgh-based Alcoa Corporation announced Friday that its workers at its San Ciprian plant in Spain have approved a plan to restart the company’s aluminum smelter in 2024.
In 2021, plans to work on a stronger smelting facility were placed on hold as rising energy prices threatened its feasibility. A new plan was developed in 2022 when the company signed two long-term wind-power purchase agreements to secure three-quarters of the plant’s energy needs.
“With this latest agreement, we have additional flexibility and a clear direction for the future as we continue to work constructively with our workforce and other stakeholders to begin the restart process in 2024, supported by wind-based power agreements and increased investments designed to improve the smelter’s viability,” said Alcoa President and CEO Roy Harvey. “We will continue to work cooperatively with the regional and national governments in Spain as we move forward with these plans.”
The plan encompasses $181 million for capital and restart expenses. Included in the costs are $146 million in capital project costs, primarily for a new anode plant, and $35 million in restart expenditures. Also included in the agreement was a commitment not to initiate any collective dismissal processes at the plant until Dec. 31, 2026.
Pending approvals for permitting and development of the wind farms, the plant’s restart is expected to begin on Jan. 1, 2024, with all pots restarted by Oct. 1, 2025. The company said that between Oct. 1, 2025, and the end of 2026, the minimum production will be 75 percent of the nominal capacity of 228,000 metric tons per year.