ALDEL - Damco Aluminium Delfzijl Coöperatie U.A.

T. +31 (0) 596 638 555

E. info@aldel.nl

Aldel secures key offtake agreement with Glencore

Published

May 18, 2020

Netherlands-based aluminium producer, Aldel, has secured a commitment from Glencore, one of the world’s largest global diversified natural resource companies, to purchase up to 180,000 tonnes from Aldel this year and next.

The offtake agreement will provide a guaranteed market for the output from the Aldel plant at time of huge uncertainty. It is a significant vote of confidence in the company as it seeks to ramp up production this year. Aldel has embarked on a ten-year plan to become one of Europe’s leading low cost and energy efficient producers of aluminium. Aldel’s annual production currently stands at around 80,000 tonnes, but it plans to significantly increase that during the next 12 months.

Chris McNamee, Aldel CEO said: “This is huge boost for Aldel, its people, and the wider economy, coming as it does against the background of the Coronavirus crisis and the economic uncertainty it has caused. This agreement, with one of the leading players in our industry, to purchase our output will further secure our medium-term future, and give us the confidence to press on with our tenyear plan to transform Aldel into a leading European green producer of aluminium. We believe Europe more than ever needs a strong efficient and green manufacturing base and that, as an independent producer of aluminium, we have an important part to play.”

Aldel – Damco Aluminium Delfzijl Coöperatie U.A.
Aldel is a privately owned aluminium producer, headquartered in Delfzijl in the Netherlands. The company, which produces high grade aluminium for the European transportation and construction industries, was acquired by York Capital in November 2017. It is investing heavily in modernising and expanding production. The plan includes the deployment of state-of-the-art carbon capture and virtual battery technology to minimise CO2 and other greenhouse gas emissions and reduce energy costs. Aldel, as a major electricity consumer, also has an important role to play in helping balance the Dutch energy grid as renewables, such as offshore wind from the North Sea, take an increasingly significant share in the overall energy mix. The company directly employs 350 people with an additional 150 working as contractors.

Glencore
Glencore is one of the world’s largest global diversified natural resource companies and a major producer and marketer of more than 60 responsibly-sourced commodities that advance everyday life. The Group’s operations comprise around 150 mining and metallurgical sites and oil production assets. With a strong footprint in over 35 countries in both established and emerging regions for natural resources, Glencore’s industrial activities are supported by a global network of more than 30 marketing offices. Glencore’s customers are industrial consumers, such as those in the automotive, steel, power generation, battery manufacturing and oil sectors. They also provide financing, logistics and other services to producers and consumers of commodities. Glencore’s companies employ around 160,000 people, including contractors. Glencore is proud to be a member of the Voluntary Principles on Security and Human Rights and the International Council on Mining and Metals. They are an active participant in the Extractive Industries Transparency Initiative.

For further inquiries
Andrew Garfield
Garfield Advisory Ltd
andrew@garfieldadvisory.com
+44 7974 982337