Century reaches power agreement for Mt. Holly smelter

Century Aluminum of South Carolina, Inc., a wholly-owned subsidiary of Century Aluminum Company, announced on Saturday, last week, that it has reached an agreement in principle with Santee Cooper that will allow the Goose Creek, SC plant to operate at half capacity while the state legislature pursues a long-term solution. The agreement is subject to approval by each organization's board of directors.

"Our relief at reaching this point is tempered because 300 of our people are being laid off," said Michael Bless, President and CEO. "Mt. Holly is a family and we are saddened that we were left with no choice but to make this decision. Our employees are responsible for making Mt. Holly the best, most-efficient aluminium smelter in the country and we will expend all efforts to return them to their jobs."

"We are hopeful that a long-term solution can be reached," Mr. Bless continued. "We agreed to this arrangement at the request of many of our local legislators in order to allow them to seek a legislative remedy. Although this will result in our continuing to operate under an uncompetitive power arrangement in the short-term, we owe it to our employees, the community and the state to do this in order to save a plant with an economic impact of nearly one billion dollars per year."

"Ultimately, any solution must ensure the long-term competitiveness of this plant. We hope to bring back our employees who have been laid off as quickly as possible. We thank Senate President Pro Tem Hugh Leatherman, Senators Paul Campbell and Larry Grooms and many of our local legislators for their efforts on behalf of our employees and their families. We would also like to thank Santee Cooper for their cooperation throughout this process."

"We look forward to working with our state and local officials on a long-term solution that will allow the plant to operate at full capacity and bring back the 300 jobs that have been lost."

For 2016, the agreement would provide enough power to operate Mt. Holly at approximately 50 percent capacity and retain approximately 300 jobs. The contract would have a three-year term and could be terminated at any time by Century on 60-day notice. Century intends to work with state legislators to pass legislation in 2016 that would allow Century to access market power for all of its power supply and to operate Mt. Holly at full capacity and employment.