Rio Tinto Group has reportedly entered into a five-year low-carbon aluminium supply contract with Prysmian Group to help the latter manufacture cables for power grids in North America with more sustainable materials.
The news came after Rio Tinto and Prysmian jointly announced the collaboration on Monday, October 30. Rio Tinto’s Canadian operations will support Prysmian efforts in decarbonisation with its low-carbon aluminium using renewable hydropower.
According to the U.S. Energy Information Administration, power generation from renewable energy will increase from 21 per cent in 2021 to 44 per cent in 2050, requiring substantial investments in building new power grids and making innovative materials required in electrification projects.
Rio Tinto and Prysmian have also agreed to utilise each other’s technologies and research & development capabilities to meet the increasing electrification demand in North America.
Amy Abraham, Rio Tinto’s vice president of Aluminium sales, said: “We are proud to work together with Prysmian to strengthen their North American supply chain for aluminium produced to the highest sustainability standards and develop the materials needed to produce more advanced power cables.”
He added, “These types of products are critical for the power grid expansion that is needed for the transition to renewable energy sources and a low carbon future.”
Aluminium plays a vital role in the green energy transition for being a lightweight metal with a high strength-to-weight ratio. The transition to green energy is essential for securing reliable energy sources and mitigating climate change to attain a sustainable future.
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