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Letter of intent and memorandum of understanding for the possible use of natural gas at Hydro Alunorte

The Norwegian aluminum company Hydro signed a letter of intent with the government of the state of Pará and also a memorandum of understanding with the company Shell Brasil Petróleo LTDA, in order to replace most of its current fuel oil consumption at the oil refinery. Hydro Alunorte alumina, in Brazil, for natural gas, which is more environmentally friendly.

The letter of intent with the Government of Pará was signed in Belém, Brazil, last night, in the presence of Hydro's President and CEO, Svein Richard Brandtzæg, and the Governor of Pará, Simão Jatene. The document seeks to develop the infrastructure and enable the use of natural gas in the region. Hydro Alunorte will be the first significant consumer of natural gas and a facilitator in establishing the infrastructure for the new Liquefied Natural Gas (LNG) and the future use of natural gas in the region.

Feasibility study will be carried out
The memorandum of understanding with Shell, signed on January 10, establishes the terms for the delivery of LNG and the establishment of the necessary infrastructure close to the Hydro Alunorte's operation in Pará. Under the memorandum of understanding, a detailed feasibility study to assess the technical and economic feasibility of the project will be conducted before further agreements with Shell are signed. & nbsp;

Today, the Hydro Alunorte refinery consumes fuel oil for the calcination process and part of the steam generation. Natural gas is a preferable energy source due to its lower cost and reduced emissions, when compared to fuel oil. Until now, natural gas was not an option in Pará due to the lack of infrastructure.

Better and greener

Hydro President and CEO Svein Richard Brandtzæg says that a potential shift from fuel oil to natural gas has been pursued for some time by the company and emphasizes that this is also an important part of Hydro's environmental strategy. < / p>

"Hydro aims to be carbon neutral from a life cycle perspective in 2020. This project supports that objective and, if successful, will reduce our carbon emissions and improve Hydro Alunorte's competitive position", says Brandtzæg.

This text is machine translated. To view the original Portuguese text, click on PT on the top right of this window

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