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Norsk Hydro ASA

04/27/2021 | Press release | Distributed by Public on 04/27/2021 05:13

Hydro to invest in Alunorte fuel-switch project

The Alunorte fuel switch project will replace heavy fuel oil with natural gas at the Hydro Alunorte alumina refinery in Brazil. The fuel switch will reduce the refinery's annual CO2 emissions by 600,000 tonnes.

The natural gas is expected to come from a liquified natural gas (LNG) regasification terminal, which will be located near the Hydro Alunorte refinery in Barcarena.

Hydro's use of LNG will not only enable more sustainable operations for Hydro, the project is also in line Hydro's commitment to the Government of Pará to support the use of natural gas in the region, including access to other regional consumers.

'This project is a milestone in our sustainability strategy and an important demonstration of our commitment to support local development in Pará State. Based on this decision, we will prepare Alunorte for the fuel switch, further investing in the refinery and generating local jobs,' says John Thuestad, Executive Vice President for Hydro Bauxite & Alumina.

The Alunorte fuel-switch project will be a main enabler to deliver on Hydro's strategy for a 30 percent reduction in greenhouse gas emissions throughout the aluminium value chain by 2030.

The fuel switch project is pending final investment decision, expected by the end of 2021.

Hydro and New Fortress Energy signed recently an MoU for the delivery of LNG to Alunorte, with first delivery expected in 2022.

More projects to cut CO2 underway

Additionally, Hydro aims to install three electrical boilers at Alunorte, replacing coal. This has the potential to reduce the refinery's annual CO2 emissions by 400,000 tonnes. An electrical boiler pilot installation is planned for 2021.

Elimination of coal by electrifying the remaining boilers at the refinery has a further potential of reducing annual CO2 emissions by 2 million tonnes.

Hydro Alunorte is the world's largest alumina refinery outside China and is located in the city of Barcarena, State of Pará.

Published: April 27, 2021

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