Alcoa to Study Feasibility of New B.C. Aluminum Smelter.VANCOUVER--(BUSINESS WIRE)--Feb. 25, 1998--Alcoa and the British Columbia British Columbia, province (2001 pop. 3,907,738), 366,255 sq mi (948,600 sq km), including 6,976 sq mi (18,068 sq km) of water surface, W Canada. Geography government signed a memorandum of understanding A Memorandum of Understanding (MoU) is a legal document describing a bilateral or multilateral agreement between parties. It expresses a convergence of will between the parties, indicating an intended common line of action and may not imply a legal commitment. today to proceed with a planning and feasibility study The analysis of a problem to determine if it can be solved effectively. The operational (will it work?), economical (costs and benefits) and technical (can it be built?) aspects are part of the study. Results of the study determine whether the solution should be implemented. for construction of a primary aluminum smelter. The announcement was made jointly by Premier Glen Clark Glen David Clark (born in Nanaimo on November 22, 1957) is a former politician in British Columbia, Canada who served as the 31st Premier of British Columbia from 1996 to 1999. Clark was first elected to the BC Legislature in the 1986 provincial election. and Alan Renken, president of Alcoa's Primary Metals business unit. The plant would represent an investment of C$1.2 billion (approximately US$843 million) as well as 500 direct and 1,500 indirect jobs. This represents the third potential new aluminum smelter investment in B.C. announced in the past six months. Alcoa will determine the feasibility of potential sites for a new aluminum smelting smelting, in metallurgy, any process of melting or fusion, especially to extract a metal from its ore. Smelting processes vary in detail depending on the nature of the ore and the metal involved, but they are typified in the use of the blast furnace. plant in British Columbia, with the province providing site infrastructure information. The planning and feasibility study will be completed no later than December 31, 1998. Depending on the outcome of the study and all necessary government and company approvals, construction could start in 1999. "Attracting the world's leading aluminum producer demonstrates that our Power for Jobs strategy provides the right incentives to get international private sector investors interested in British Columbia," said Clark. "Should the two MOUs signed this year, and a third MOU (Minutes Of Usage) A metric used to compute billing and/or statistics for telephone calls or other network use. signed with Alcan, lead to construction of three new primary aluminum plants, our ability to use excess hydroelectric power hydroelectric power: see power, electric; water power. hydroelectric power Electricity produced from generators driven by water turbines that convert the energy in falling or fast-flowing water to mechanical energy. as an investment tool could lead to over 6,000 direct and indirect jobs." In January, British Columbia signed a memorandum of understanding with Alumax to conduct a planning and feasibility study for a new smelter. "British Columbia has sufficient hydroelectric power, the transportation infrastructure, the skilled labor, and access to Pacific Rim Pacific Rim, term used to describe the nations bordering the Pacific Ocean and the island countries situated in it. In the post–World War II era, the Pacific Rim has become an increasingly important and interconnected economic region. markets we need to make a primary aluminum smelter viable," said Renken. "Last December, the Premier presented us with a compelling case for investing in B.C. Based on ensuing en·sue intr.v. en·sued, en·su·ing, en·sues 1. To follow as a consequence or result. See Synonyms at follow. 2. To take place subsequently. discussions, we will now investigate the feasibility of establishing operations here." Under the MOU Alcoa commits to: -- conduct a planning and feasibility study for construction of a primary aluminum smelter with an output of at least 250,000 metric tons per year (mtpy), annual demand of a minimum 425 megawatts of electric power at 100% load factor, and estimated direct, indirect and induced employment of up to 2,000 people. -- include in the study the use of optimum production technologies and state-of-the-art environmental controls. The province agrees to: -- assist Alcoa with site infrastructure information; -- negotiate a power contract with Alcoa. Alcoa and the provincial government also agree to identify opportunities for additional secondary manufacturing investments and maximizing purchases from B.C. suppliers in the construction and operation of the new plant in order to maximize B.C. employment and business opportunities. The facility would include state-of-the-art environmental protection equipment and would meet all of the requirements of the Environmental Assessment review process for an aluminum production facility in British Columbia. CONTACT: Alcoa Joyce A. Saltzman, 412/553-4467 or Office of the Premier Jean Wolff, 250/812-2849 |
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