Aluminum smelter planned for Vancouver Island

A proposed 360,000-tonne-per-year aluminum smelter on Vancouver Island could be operating in 4.5 years.

Alberni Aluminum, or Al2Co., will pursue regulatory approval for the $1.5-billion project in Port Alberni, B.C. It has been in the planning stages since 1998.

Engineering work and permitting are expected to take a total of 12-18 months. Construction would last a further three years.

The company is in talks with BC Hydro about rates but has already decided to appoint Patrick James, former chief operating officer of Rio Algom, as its chief executive officer.

Al2Co. is still working on financing for the project.

In related news, Kobe Steel, one of Japan’s largest steel companies, has sold its interest in the Aluminerie Alouette consortium, which operates a 243,000-tonne aluminum smelter in Sept-les, Que.

Kobe sold its interest to Socit gnrale de financement, a wholly owned investment arm of the Quebec government. The deal was part of Kobe’s efforts to shed its low-margin aluminum assets.

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