On Tuesday, April 25, Century Aluminum Company announced a significant step towards acquiring a sizeable share in a joint Jamaican bauxite mining and alumina production venture. The company has reportedly signed an agreement with Noble Group Holdings Limited (Noble) to obtain 55 per cent of its ownership in Jamalco.
According to the agreement signed, a wholly-owned subsidiary of Century Aluminum will acquire General Alumina Holdings Limited, a Noble subsidiary and owner of Noble’s 55 per cent interest in Jamalco. The transaction is likely to close by April-end 2023.
Century’s investment in Jamalco will prove to be highly strategic, helping the company secure a long-term alumina supply chain, the most critical raw material for aluminium production.
Jesse Gary, President and CEO of Century, explained: “This acquisition is highly strategic for Century as it secures a predictable, long-term supply of alumina, our most critical raw material and achieves increased transparency and control of our supply chain. Acquiring this interest in Jamalco allows us to integrate our aluminum smelting operations with this critical upstream supply of bauxite and alumina to create a more balanced and robust operational footprint, resulting in an organization that is better positioned to deliver strong performance through industry cycles.”
“Jamalco is a well-known and well-regarded organization with a world class operational team. It has historically proven its competitive advantages through its consistent production of high-quality alumina, strategic geographic footprint in the Atlantic alumina market, and strong corporate culture focused on safety, integrity and employee well-being,” continued Mr. Gary. “We believe this acquisition will ultimately provide Century and our stockholders with a meaningful opportunity for long-term value creation. We are very excited to add this high-potential asset to our portfolio and we look forward to working with our new joint-venture partners, Clarendon Alumina Production Limited.”
Responses
