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Hydro in long-term power contract for Neuss aluminium plant in Germany

Staff writer |
Norwegian aluminium company Norsk Hydro ASA’s fully owned subsidiary Hydro Aluminium Rolled Products GmbH has secured a power contract with Axpo Trading AG, totaling 0,9 TWh (100 MW) annually from 2018 to 2025.

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Axpo Trading AG is a Switzerland-based energy company with captive power production and international trading activity.

The new power contract will replace parts of an existing combination of internal and external power arrangements entered into in 2012, supplying Hydro Neuss primary aluminium plant with a total of 2.2 TWh (250 MW) annually in the period from 2013 to 2017

In the period from 2018 to 2020, the remaining 1.3 TWh (150 MW) of the expiring power sourcing arrangement will be replaced by an internal power contract supplied by Hydro.

“Together with ongoing portfolio high-grading efforts and German exchange traded power prices falling around 20 euros since 2012, the new contract will further strengthen the competitiveness of our German aluminium triangle, consisting of the Neuss primary aluminum plant, the Alunorf hot rolling mill, and the Grevenbroich finishing plant,” says executive vice president and head of Rolled Products Kjetil Ebbesberg.

Hydro Neuss primary aluminium plant is 100 percent owned by Hydro and located in Western Germany, close to Düsseldorf. It is currently running at two-thirds of its total 235 000 mt annual capacity, delivering sheet ingot and recycled liquid metal to the next-door Alnunorf hot rolling mill.

The Neuss primary smelter is currently undertaking a 50,000 tonnes capacity expansion of used beverage can (UBC) recycling capacity, contributing to lower metal cost and Hydro’s 2020 carbon neutrality target.

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