MELBOURNE, Australia–(BUSINESS WIRE)–Rio Tinto welcomes the Australian Government’s announcement of an aluminum production credit to help sustain and grow Australian aluminum smelting, and further improve the regional community and the country’s manufacturing capabilities.

The production credit, announced today as part of the Future Plan Made in Australiaputs Australia on a path to becoming a leader in green metals manufacturing, while supporting a continued strong economic future for the communities that have powered the country’s aluminum industry for generations.

It will provide targeted support to Australian aluminum smelters that switch to reliable, renewable electricity before 2036. Under the initiative, facilities will be eligible for support for their production for 10 years. stage. The credit aims to give local aluminum smelters the confidence to invest, securing Australian jobs and strengthening the country’s world-class aluminum industry.

The support comes at an important time for Australia’s aluminum sector, as major manufacturers and infrastructure developers around the world increasingly seek supplies of the low-carbon material, which is driving growing demand for sustainable products.

Rio Tinto (NYSE:) Chief Executive, Australia, Kellie Parker said: The Australian Government’s commitment shows strong confidence in domestic manufacturing and the country’s position in the global economy. As traditional sources of energy for heavy industry become increasingly uncompetitive, today’s announcement is a critical part of helping future-proof the industry. Such support is essential for the sustainability and growth of the regional economy.

“As global industrial customers and consumers increasingly focus on low-carbon products, this support signals Australia’s potential to become a major supplier of the aluminum needed for the global energy transition , which creates a foundation for local businesses and manufacturing to thrive.”

The announcement builds on Rio Tinto’s partnership with the Queensland Government, announced in August 2024, to support Boyne Smelters Ltd’s (BSL’s) transition to renewable energy, as well as Rio Tinto’s strong progress in securing renewable power to provide competitive electricity prices for its aluminum operations. . These include the signing of Australia’s largest renewable power purchase agreement in early 2024 to supply its Gladstone aluminum operations, where Rio Tinto will purchase most of the electricity from Windlab’s planned 1.4GW Bungaban wind energy project, and an earlier agreement with European Energy to drive the development of the 1.1GW Upper Calliope solar farm. These projects will make Rio Tinto the largest buyer in Australia’s renewable power industry.

Rio Tinto’s integrated aluminum production chain in Queensland is a key driver of the economy, directly employing more than 4500 people and supporting thousands more Australian livelihoods. The company’s operations in Gladstone alone account for more than 3000 jobs, with 1000 of those at BSL. In addition, Rio Tinto’s bauxite operations in Weipa employ more than 1300 people, supplying raw materials to manufacturing facilities in Gladstone.

Rio Tinto also welcomed the announcement as a 51.55% owner of the Tomago Aluminum Company and looks forward to working with the New South Wales Government to help secure the future of that operation. Tomago, in the Hunter Valley, is Australia’s largest aluminum smelter, and directly supports more than 1200 full-time jobs.

See the original version on businesswire.com: https://www.businesswire.com/news/home/20250118099373/en/

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Media relations,
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Michelle Lee
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Rachel Pupazzoni
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riotinto.com

Category: BSL

Source: Rio Tinto