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Rusal to halt plans for power plant at Queensland Alumina refinery
Edited by : AL CIRCLE
1 min read
Russian aluminium producer Rusal is expected to halt its plans for a $400 million gas-fired power plant at its Queensland Alumina refinery, The Australian Financial Review reports.
According to the newspaper, Rusal Australia chairman John Hannagan said the company is uncertain if it will able to access supplies of lower-priced gas needed to ensure the project's viability.
“That is one investment we don’t believe stacks up in the current environment," he said.
“It’s a significant project but to really make it work you need a very long-term secure gas contract that is competitive and at the moment we don’t think the environment for a competitive gas contract is there.”
Rusal has been looking to commission a gas-fired co-generation plant with its joint venture partner Rio Tinto Ltd in a push to reduce carbon emission and lower overall running costs for the facility.
According to the newspaper, Rusal Australia chairman John Hannagan said the company is uncertain if it will able to access supplies of lower-priced gas needed to ensure the project's viability.
“That is one investment we don’t believe stacks up in the current environment," he said.
“It’s a significant project but to really make it work you need a very long-term secure gas contract that is competitive and at the moment we don’t think the environment for a competitive gas contract is there.”
Rusal has been looking to commission a gas-fired co-generation plant with its joint venture partner Rio Tinto Ltd in a push to reduce carbon emission and lower overall running costs for the facility.
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