South32 acquires additional interest in Mineraço Rio do Norte

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Mining and metals company South32 Limited has completed the acquisition of an additional 18.2% interest in the Mineraço Rio do Norte bauxite mine in northern Brazil from Alcoa Corporation.

Located in the district of Porto Trombetas, western Pará State, Mineraço Rio do Norte is the largest Brazilian producer and exporter of bauxite, producing over 12 million tons/year.

The acquisition increases the company’s stake in the mine to 33% and ensures the supply of bauxite for its integrated aluminium supply chain in Brazil.

BHP’s South32 and Alcoa suspended production at the Alumar smelter in 2015.

Adertisement

“We are pleased to complete the acquisition of an additional interest in Mineração Rio do Norte, securing increased access to bauxite for our integrated aluminium supply chain,” said South32 Chief Executive Officer Graham Kerr in an ASX Announcement.

Earlier this year, South32 announced plans to restart the Alumar aluminium smelter with its joint venture partner Alcoa, with initial production expected in the June 2022 quarter.

“As a result of our investment in Brazil, including participation in the restart of the Alumar smelter using 100 per cent renewable power, and our planned increased shareholding in Mozal Aluminium which benefits from access to hydroelectric power, we expect to double our production of green aluminium by FY23,” Mr Kerr said.

Image credit: https://www.mrn.com.br/index.php/en/who-we-are