Alcoa Australia: Bauxite and alumina producer in | Australian Markets
Alcoa of Australia’s revenue has more than tripled amid the shutdown of the Kwinana alumina refinery and broader strikes to slash prices.
The mining and manufacturing business — now absolutely owned by New York-listed Alcoa Corporation — earned $818 million by way of the 12 months to December 2024. That was up from $241m in the earlier 12 months.
Revenue edged up by $1.1b to $5.9b, based on the financial report lodged with the company regulator on Monday.
It got here following the business’s shock choice to mothball the State’s oldest alumina refinery, introduced in January final 12 months.
That was pushed by market circumstances, the plant’s age, and poor grades of bauxite mined in WA. The American giant sought to downplay the position of pink and inexperienced tape on the time of the choice, regardless of beforehand warning that environmental approval delays have been forcing mining to maneuver to lower-grade ores.
The price of closing the manufacturing plant in Kwinana has to this point been booked at $445m, the financial report confirmed.
That’s up almost 40 per cent from when the choice was first introduced.
More than three quarters of the invoice was for water management — understood to be associated to dams of pink mud waste merchandise close to the plant in Kwinana.
Alcoa chief financial officer Molly Beerman advised traders earlier this 12 months the company would need to pay more, after analysing what was needed to handle water on the waste residue websites.
She additionally warned the transition at Kwinana had been gradual to ship financial savings.
Staff numbers on the web site have been slashed from 780 staff to only 50 with the plant now largely switched off. An additional 290 have been sacked nationally by way of a program to sharpen productiveness.
Alcoa operates big mines in WA’s south west digging up bauxite and runs refineries in Pinjarra and Wagerup to course of the ore into alumina.
The State’s alumina exports have been value $7.8b final 12 months.
Alumina is smelted into aluminium, which is used in cans, jet engines and electronics.
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