A new aluminum smelter for Chicoutimi, Que., has been announced by Alcan Aluminum, with construction to be phased in over a five-to-seven-year period.
First phase of the Laterriere smelter, to be built over a 30-month period and to cost between $175 million(US) and $225 million, will have an annual capacity of 50,000-to-60,000 tonnes. On-site work for the smelter will be carried out this fall, with major construction set to begin in spring, 1988.
The new facility is part of Alcan’s Quebec smelting capacity replacement program and will have a final rated capacity of 200,000 tonnes per year. Total cost of the smelter when all phases have been completed will be between $450 million and $550 million.
Alcan says it has opted for a more flexible construction plan for the Laterriere facility in order to be in a better position to respond to cyclical aluminum industry conditions. The company postponed the project in 1985 because of deteriorating aluminum market conditions.
Aluminum prices are currently running in the mid-60 cents -per-lb range, which compares favorably with the average 52 cents price for 1986.
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