US aluminium producer Alcoa has entered into a Memorandum of Understanding (MoU) with the Spanish national government and the regional government of Galicia to support the continuation of operations at the San Ciprian smelter in Spain, the company announced today.
Alcoa had originally attempted to sell the smelter in 2021, before reaching an agreement with workers in early 2023 to fully restart the plant the following year. But by December it met with national and regional authorities to discuss other options, as it said the facility's economics had continued to worsen.
Alcoa's Spanish subsidiary Alcoa Inespal again sought a sale of the facility in the second quarter of last year but did not find a viable bid, and instead entered into a partnership agreement with energy firm Ignis Equity Holdings.
"We expect to use the momentum created today to progress dialogue with our remaining stakeholders, particularly the national trade unions, and the local workers council, and reach the final elements necessary for San Ciprian's future," Alcoa's global vice-president for energy Alvaro Dorado Baselga said.
The MoU focuses on continued dialogue with workers' representatives, streamlining the authorisation of renewable energy projects, providing greater CO2 compensation and gaining approval for residue storage area capital projects.
