SEMAS has ordered Alunorte to cut 50% in the production of calcined alumina and requested the reduction to be completed within March 1. Alunorte will receive a daily fine of approx. BRL 500 000 if the production has not been reduced in time. Alunorte is currently preparing to comply with the requirement set by SEMAS.
Contingency plans will be implemented to reduce the potential negative effect on customers.
“We are doing our utmost to limit the impact of this challenging situation for our employees, our customers and for the communities around us,” says President & CEO Svein Richard Brandtzæg.
While it is too early to determine the size and impact, a production cut could potentially have significant operational and financial consequences.
The background for these measures taken by SEMAS is non-compliance with an order issued by SEMAS on February 23 to have 1 meter freeboard in the water basins in DRS1 at Alunorte within the deadline of February 26. By adding additional pumps and increasing the water treatment capacity, the 1 meter freeboard requirement was met on February 27.
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