Aluminum Insider

by Staff

With the weight of sanctions finally lifted from its shoulders, Russian Federation aluminium giant U.C. Rusal announced earlier today a joint venture with Braidy Industries to construct and operate a flat-rolled aluminium rolling plant in Ashland, Kentucky.

Per Rusal, the mill will have a nameplate capacity of 800 thousand metric tons per annum, with 500 thousand metric tons per annum devoted to hot-rolled band, and the balance to fully-finished cold-rolled aluminium products. The mill will feature state-of-the-art equipment, including the widest cold-rolling mill in the United States at 104”.

The new mill will be fed raw aluminium from Rusal’s own smelters, specifically from operations at an under-construction smelter in Taishet, Siberia. Once constructed, Rusal will retain a 40-percent share, with the remaining ownership vesting in Braidy.

Though the two firms agree on the broad details of the project, a myriad of minute arrangements remain to be settled. As a result, the parties drafted a Letter of Intent on the project that spells out commercial conditions for the joint venture as well as establishing a framework for future negotiations. The document will likely be signed by the conclusion of the current quarter.