METLEN has entered into two long-term strategic agreements with Rio Tinto, securing the supply of bauxite and the disposal of alumina.
More specifically, the company has committed to a large-scale expansion of its alumina production capacity, through a landmark investment in the historic “Aluminium of Greece” plant in Agios Nikolaos, Boeotia.
This investment will significantly increase alumina production, from 865,000 tons to 1,265,000 tons per year.
Two agreements
To support this expansion, Rio Tinto and METLEN have signed two significant and large-scale agreements, under which:
Bauxite Supply Agreement: Rio Tinto will supply approximately 14.9 million metric tons of bauxite from the CBG mine in Guinea, for a period of 11 years (2027-2037). These quantities will complement METLEN’s domestic production from its local mines.
Alumina Absorption Agreement: METLEN will supply Rio Tinto with 3.9 million metric tons of alumina, originating from the new plant in Agios Nikolaos, for a period of 8 years (2027-2034), with the possibility of a three-year extension (2035-2037).
Evangelos Mytilineos, Chairman & CEO of METLEN Energy & Metals, said: “This strategic partnership with Rio Tinto is another milestone for METLEN, ensuring a stable and competitive supply chain for our expanded alumina production. With these agreements, we strengthen our competitive position and consolidate our presence in the global alumina market.”
Jerome Pécresse, Chief Executive of Rio Tinto Aluminium, noted: “Rio Tinto is very pleased to establish this long-term partnership with METLEN Energy & Metals, securing the supply of alumina for our operations in the Atlantic region, so that we can continue to produce high-quality, low-carbon aluminum for our customers, while strengthening our position in Europe.”
Expansion of activities
These agreements are part of METLEN’s strategy to strengthen and expand its activities in the global alumina market. By securing a long-term supply of bauxite and a stable agreement to absorb alumina production, METLEN consolidates its position as a key player in the industry, while ensuring sustainable growth.
