Alcoa, Rio Tinto Announces First Carbon-Free Aluminum-Smelting Process

SEATTLE (Scrap Monster): Alcoa Corporation, in partnership with Rio Tinto has announced the launch of revolutionary aluminum-smelting process, which eliminates the drawbacks of traditional aluminum smelting process. The world’s first carbon-free aluminum smelting process eliminates all direct greenhouse gas emissions and produces oxygen. This is considered to be the most significant innovation in the aluminum industry in more than a century.

Alcoa Corp. and Rio Tinto will work together towards larger scale development and commercialization of the process. To this effect, a new joint venture, named Elysis, headed by industry veteran Vincent Christ, has been formed. The new JV will be headquartered in Montreal and will have a research facility located in Quebec’s Saguenay–Lac-Saint-Jean region. Apple Inc. has committed to support the JV by providing technical support to its partners.

Elysis will develop and license the new technology so that it can be used in new facilities and those existing facilities which will be upgraded in future. The patent-pending technology is already in use in Alcoa’s Pittsburgh, U.S. facility. The JV expects full commercialization of the project to happen in 2024.

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The joint venture will get an initial funding of CAD $188 million. Canada and provincial Quebec government will invest CAD $60 million each in Elysis. Apple will provide an investment of $13 million. Additionally, Alcoa and Rio Tinto will make joint investment of CAD $55 million over the next three years. The Quebec provincial government will have 3.5% equity stake in the joint venture. The remaining equity stake will be equally shared between Alcoa and Rio Tinto.

The establishment of the new smelting process is expected to deliver significant reduction in carbon emissions. Further, it will create new jobs in addition to maintaining the thousands of existing jobs. Elysis will directly employ around 100 people. The groundbreaking technology is expected to further strengthen the North American aluminum industry.