In the heart of south Louisiana, Atlantic Alumina operates the last remaining bauxite refinery in the US, a massive facility that transforms red earth from Jamaica into alumina. However, the process leaves behind a by-product known as "red mud," which has raised environmental concerns. State regulators recently stepped in, issuing orders and warning fines after claiming that the plant’s containment systems failed, causing bright orange runoff to flow into a nearby swamp.
The sprawling facility, located in St. James and St. John the Baptist parishes, was first established in the late 1950s by Kaiser Aluminum. Here, alumina is extracted and shipped to smelters to produce aluminium, a key material in various industries. The land, however, is dotted with hundreds of acres of red mud, laced with trace amounts of heavy metals and slightly radioactive elements. From above, the mounds of waste rise like small mountains, surrounded by pools of contaminated liquid.
For every pound of alumina produced, the refinery generates between one and one-and-a-half pounds of red mud, a difficult-to-recycle by-product stored in vast impoundments just south of Airline Highway, near the swamps. Over a span of 11 months, from late 2024 to mid-2025, state inspectors documented a series of breakdowns in the containment system, often referred to as red mud "ponds" or "lakes." These reports, supported by hundreds of photographs, highlighted recurring failures.
Get your hands on our exclusive report - A Comprehensive Analysis of Bauxite Residue - Red Mud
Atalco accused of inadequate monitoring
State inspectors found alarming erosion channels as deep as 10 feet in the earthen levees meant to hold the waste. Some levees were bare of protective grass, while others were overgrown, making it difficult to detect erosion. Seepage from these levees was found to funnel down these erosion channels and, in some cases, flow into the Blind River Swamp. The liquid seepage was bright red or orange, emitted a caustic odour, and had an alkalinity ranging from toothpaste to ammonia. Inspectors noted that vegetation in affected areas was either dead or severely distressed.
State regulators have accused Atlantic Alumina, also known as Atalco, of failing to promptly report these issues, neglecting to track the days of internal monitoring, and not inspecting the most active pond. The DEQ’s compliance order stated that Atalco "failed to conduct adequate inspections" to detect deterioration in the levees, malfunctions, or improper operation of the red mud lakes.
The DEQ also stated that the liquid seeping from the levees is classified as solid waste being discharged illegally. A Southeastern Louisiana University researcher pointed to the red mud runoff as a potential source of heavy metals and other pollutants in Lake Maurepas, suggesting that leaks from Atalco could be contributing to pollution in the lake. Atalco, however, rejected these claims.
Also Read: Researchers unlock new method to recover aluminium from red mud in 60 seconds
What Atlantic alumina said?
Atlantic Alumina insists that it has made repairs and stopped the seepage. Still, the Louisiana Department of Environmental Quality (DEQ) issued a compliance order listing approximately 70 violations, threatening fines and demanding corrective actions. Around two-thirds of these violations stem from water quality issues, such as elevated levels of fecal matter and caustic substances, with the remaining violations focused on the containment system's failure.
Atalco’s response to the DEQ insisted that the company had already addressed, or was in the process of addressing, the containment issues at the time the order was issued on August 22. They provided photographs showing the repair of eroded levee banks and the clearing of silt-filled containment ditches to help prevent runoff. In a statement, Atalco's president, John Habisreitinger, confirmed that the repairs had stopped the seepage and stated that the company had met multiple times with the DEQ to discuss the findings.
Call for a deeper investigation
Fereshteh Emami, the analytical chemist who conducted the study, called for a deeper investigation into the pollution sources. However, she was removed from her role at SLU in July. While university officials cited reasons unrelated to her findings, Emami's lawyer has raised concerns over the official explanation. In addition to these environmental issues, Atalco has faced regulatory scrutiny in recent years. Under the Biden administration, the plant was frequently inspected by workplace safety regulators, who imposed fines amounting to millions of dollars. Four workers were injured, and one contractor was killed in 2024. Local residents have also complained about dust blowing from the complex.
Atalco’s continues to explore safety measures
In response to environmental concerns, Atalco has argued that environmental groups have unfairly targeted the company. In June, the company announced the installation of new filter presses to reduce water waste and improve the storage of red mud.
Despite these ongoing issues, Atalco continues to explore ways to safely reuse the red mud. Company officials told state regulators that they don't plan to close the ponds until 2046, though they will need to build a new one before then. They also asserted that shipping the red mud off-site is not a feasible option. Atalco, which produces nearly 40 per cent of the nation's alumina, maintains that its plant is a vital national security asset. The company has raised concerns about Chinese companies allegedly attempting to undercut alumina prices through state-backed efforts. In July, Atalco disclosed that the US Export-Import Bank had expressed interest in financing a $USD million expansion of the facility.
Also Read: Alumina refining fuel consumption hit 1 million TJ in 2024 — Fuel mix transition weighs in
Responses
