Atalco to boost US alumina, gallium production

Atalco

Atalco to boost US alumina, gallium production after securing $450mn to restart capacity and add new critical minerals output. Atalco to boost US alumina, gallium production by restoring its Louisiana refinery to nameplate levels and installing a new primary gallium circuit. As a result, Atalco to boost US alumina, gallium production as Washington pushes harder for resilient domestic supply chains.

Atlantic Alumina will direct the funding to its Gramercy, Louisiana, refining site to return alumina production to 1.2mn t/yr. The company will also build a 50 t/yr gallium production circuit and upgrade mineral processing and power generation capability. Meanwhile, the company has not provided a public project timeline or detailed restoration plan.

Why alumina and gallium now sit in the same national security basket

Atalco to boost US alumina, gallium production because both materials matter for defense, aerospace, and semiconductors. The US has limited domestic alumina output relative to demand and no primary gallium production, which creates exposure during trade disruptions. Therefore, a restart at Gramercy could strengthen supply assurance for downstream aluminium and high-tech manufacturing.

Atalco operates the only US alumina refinery, which makes the site strategically important. The refinery processes bauxite, and gallium can be recovered as a by-product stream in alumina production. However, recovery performance and unit economics will depend on bauxite chemistry, circuit design, and sustained operating rates.

Funding structure and supply chain linkages signal a broader buildout

Atalco to boost US alumina, gallium production with a blended finance structure that mixes public and private capital. The Department of Defense is providing $150mn through an industrial base program, while the remaining $300mn comes from a private capital sponsor linked to Concord Resources. As a result, the project reflects a growing model where government anchors projects that private markets might otherwise delay.

Feedstock sourcing also matters for delivery certainty. Atalco receives bauxite from Jamaica through a joint venture, which supports continuity of supply while the US rebuilds midstream capacity. Meanwhile, parallel Louisiana efforts to recover gallium from red mud highlight a wider push to extract critical minerals from industrial waste streams, not just primary mines.

The Metalnomist Commentary

This project is a strategic restart with a dual benefit: aluminium supply resilience and new domestic gallium output. However, the market will judge success on execution speed and reliable gallium recoveries at scale. If Gramercy stabilizes operations, it could become a template for midstream critical minerals re-industrialization.

US-Origin Alumina Deal Links Brimstone With Century Aluminum

Century Aluminum

US-origin alumina supply could gain a new domestic source after Century Aluminum agreed to take material from Brimstone’s planned industrial-scale refinery. The agreement supports efforts to reduce US dependence on imported alumina as domestic primary aluminium capacity expands.

US-origin alumina from Brimstone will be produced from calcium-bearing silicate rocks rather than conventional bauxite. The company plans a 350,000 t/yr smelter-grade alumina refinery, with operations targeted to begin in 2034.

US-origin alumina is becoming strategically important because the US relied on foreign sources for 71% of its alumina requirements in 2025. Imports reached 1.3mn t, while domestic refining capacity remains concentrated in a single operating facility.

Neither the offtake volume nor financial terms of the memorandum of understanding were disclosed. However, the agreement gives Brimstone an industrial customer pathway while Century strengthens its potential long-term raw material security.

Domestic Alumina Becomes Critical as US Smelting Expands

Century Aluminum is increasing primary aluminium production as US trade policy raises the cost of imported metal. The company restarted more than 50,000 t/yr of idled capacity at its Mt Holly smelter in South Carolina.

Century is also participating with Emirates Global Aluminium in plans for a new 750,000 t/yr primary aluminium smelter in Oklahoma. If those projects advance, domestic alumina demand will rise alongside US smelting capacity.

The supply problem is clear. Atlantic Alumina’s 1.2mn t/yr Gramercy refinery in Louisiana is currently the only domestic source of smelter-grade alumina.

Even that facility depends on imported bauxite from Jamaica. This means US primary aluminium production remains exposed to foreign raw material supply even when smelting occurs domestically.

Brimstone’s proposed process could change that equation. Its hydrometallurgical technology extracts alumina from calcium-bearing silicate rocks, potentially creating a US feedstock route that does not depend on imported bauxite.

The company is also evaluating other products from the same process, including cement, iron, titanium and magnesium. That multi-product model could improve resource efficiency and project economics if successfully commercialised.

Brimstone Must Prove Scale Before 2034 Supply Begins

Brimstone is currently building a commercial-scale demonstration plant in Reno, Nevada. Operations are expected to begin in 2028, with initial alumina output intended for customer qualification.

That qualification step will be critical. Aluminium smelters require consistent chemistry, purity and physical characteristics before they can use new alumina sources at scale.

The demonstration plant therefore serves as the bridge between process development and industrial acceptance. Brimstone must prove that its non-bauxite route can produce smelter-grade material reliably and economically.

The industrial-scale refinery remains further away. Brimstone has not selected a final site, while the planned 2034 start date means Century will continue relying on existing alumina sources for several years.

Financing is another issue. Brimstone has raised more than $80mn from equity investors but has not disclosed updated capital requirements for its demonstration or commercial refinery.

The company is also challenging the US Energy Department’s decision to revoke a $189mn award previously intended to support the demonstration plant.

The strategic case remains strong. If Brimstone can commercialise its process, the US could gain a new domestic alumina route just as primary aluminium capacity begins expanding again.

The Metalnomist Commentary

The US cannot build a secure aluminium industry by adding smelters while leaving alumina dependent on imports. Brimstone’s real significance is whether it can turn domestic silicate rock into qualified smelter-grade alumina at commercial scale.

US Gallium Recovery Projects Target Domestic Supply Chain for Defense and Semiconductors

DOE(The US Department of Energy)

US gallium recovery projects will receive $5.4mn in funding from the Department of Energy as Washington tries to rebuild domestic supply for a metal critical to defense systems, semiconductors and advanced electronics. The funding will support five US-based projects under the Technology for Recovery and Advanced Critical-material Extraction – Gallium initiative.

The TRACE-Ga initiative is designed to prototype technologies that can recover gallium from US metal-processing feedstocks. This is important because the US is fully import-reliant for gallium and has not produced the metal domestically since 1987.

US gallium recovery projects are gaining urgency because gallium is essential for compound semiconductor materials, including gallium nitride. These materials support power electronics, radio-frequency devices, radar systems, satellite communications, fast chargers, LEDs and other high-performance technologies.

The funding is modest in scale, but strategically important. It signals that the US is no longer focusing only on mining new critical minerals. It is also trying to recover strategic metals from industrial by-products, waste streams and existing processing networks.

TRACE-Ga Funding Targets Recovery From Existing Feedstocks

The DOE award will support five companies working on gallium recovery technologies. Participants include PHNX Materials, Atlantic Alumina Company, Found Energy, Kunin Technologies and Indium Corporation.

The selection of companies shows how broad the recovery opportunity could become. Gallium is not usually mined as a primary product. It is commonly recovered as a by-product from other industrial processes, especially alumina and zinc-related supply chains.

This makes gallium recovery different from conventional mining. The key challenge is not only finding deposits, but identifying feedstocks where gallium exists in recoverable concentrations and developing technologies that can extract it economically.

Industrial waste refiner PHNX Materials could support recovery from complex waste streams. Atlantic Alumina Company brings relevance to alumina-linked feedstock. Found Energy adds an aluminum-related industrial angle, while Kunin Technologies focuses on mineral by-product recovery. Indium Corporation brings downstream metals refining and manufacturing expertise.

The TRACE-Ga initiative therefore targets the middle of the supply chain. It seeks to bridge the gap between laboratory recovery methods and scalable domestic production.

That gap matters because gallium supply is highly concentrated. China dominates primary gallium production and has used export controls to increase pressure on global buyers. For US defense and semiconductor supply chains, reliance on foreign gallium has become a clear strategic risk.

Domestic recovery could help reduce that exposure. Even if early projects produce limited volumes, they can prove process routes, identify feedstock partners and create the technical base for larger recovery systems.

The use of US metal-processing feedstocks also fits a wider circular materials strategy. Instead of waiting for new mines, the US can extract critical materials from industrial streams already moving through domestic facilities.

This could make recovery faster than new primary production. However, it still requires technical success, feedstock security, refining capability and customer qualification.

Gallium Nitride Demand Raises Strategic Pressure

Gallium’s strategic value has increased because of its role in gallium nitride and other compound semiconductor materials. Gallium nitride is widely used where high power, high frequency, efficiency and heat performance matter.

These applications are highly relevant to defense and advanced electronics. Radar, communications systems, satellite technologies, power conversion equipment and semiconductor devices all rely on materials where gallium can be difficult to substitute.

The DOE’s TRACE-Ga funding also sits alongside a larger notice of funding opportunity of up to $69mn. That programme targets technologies and processes that advance domestic production and refining of critical materials, including gallium and gallium nitride for semiconductor applications.

This shows that Washington is building a layered funding strategy. TRACE-Ga supports recovery prototypes, while broader DOE programmes aim to scale refining, alloying and advanced material production.

For the semiconductor industry, domestic gallium supply is not only a raw material issue. It is connected to wafer production, epitaxy, device manufacturing, packaging and defense procurement. A shortage or export disruption at the gallium stage can move through the entire compound semiconductor chain.

This is why gallium recovery matters even if volumes are small at first. Strategic materials often have low tonnage but high consequence. A reliable domestic supply stream can reduce procurement risk for critical systems.

The challenge will be commercialisation. Recovery from waste and by-products can be technically complex because gallium concentrations may be low and feedstock chemistry can vary. Companies must prove that their processes can recover gallium consistently, meet purity requirements and operate at competitive cost.

The US also needs downstream refining capacity. Recovering gallium-bearing material is not enough if the material cannot be refined into forms suitable for semiconductor and defense applications.

The DOE funding is therefore best understood as an early-stage industrial rebuilding tool. It does not immediately solve US gallium dependence, but it helps create the technologies and partnerships needed to rebuild supply.

The Metalnomist Commentary

US gallium recovery projects show that critical mineral security increasingly depends on recovering by-products from existing industrial systems. The strategic test will be whether TRACE-Ga can move beyond prototypes and create reliable domestic feedstock for gallium nitride, defense electronics and semiconductor manufacturing.

Brimstone to Produce US-Sourced Alumina by 2030

Brimstone

Brimstone, a California-based cement manufacturer, has announced plans to produce smelter-grade alumina in the United States by 2030. This initiative will be integrated into the company's decarbonized cement manufacturing process.  Currently, the sole operational alumina refinery in the US relies entirely on imported unrefined alumina.

Reducing Reliance on Imports

Brimstone's innovative approach will produce alumina from carbon-free calcium silicate rocks, reducing the need for both imported alumina and imported bauxite, the raw material typically used in alumina production.  The US relies heavily on imported alumina and bauxite.  From January to September, the US imported 989,000 metric tonnes of alumina, with 749,000 tonnes coming from Brazil.  During the same period, the US also imported 1.6 million tonnes of unrefined bauxite, including 1.3 million tonnes from Jamaica and 232,000 tonnes from Turkey, along with 272,000 tonnes of calcined bauxite.

Project Timeline and Funding

Brimstone will begin pilot operations in 2025 and aims to have its commercial demonstration plant operational by 2030.  The company has received $8.7 million in federal cost-share funding from the Department of Energy's Office of Clean Energy Demonstrations (part of a total $189 million commitment) to support site selection and initial studies.

Hindalco acquires AluChem to expand specialty alumina in the US

Hindalco

Why the deal matters for specialty alumina

Hindalco acquires AluChem for $125mn, securing a US specialty alumina platform. The acquisition occurs via subsidiary Aditya and is expected to close in the third quarter. As a result, Hindalco acquires AluChem to enter the low-soda tabular alumina market. The move aligns with demand from refractories, precision ceramics, and high-temperature components.

Capacity, products, and market outlook

AluChem operates 60,000 t/yr across Ohio and Arkansas, producing ultra-low soda calcined and tabular alumina. Meanwhile, Hindalco runs 500,000 t/yr of specialty alumina and targets 1mn t/yr by FY2030. Therefore, Hindalco acquires AluChem to deepen exposure to electronics, semiconductors, aerospace, and medical applications. The combined portfolio strengthens US-local supply for energy-intensive industries.

Hindalco will gain a specialty footprint near key North American customers. Additionally, the deal elevates Hindalco’s downstream value and product mix. Consequently, Hindalco acquires AluChem to accelerate premium alumina growth and improve global market access.

The Metalnomist Commentary

This buyout positions Hindalco in a high-margin alumina niche with resilient US demand. Execution focus now shifts to integration, customer qualification, and timing of regulatory approvals. Watch for capacity debottlenecking as markets tighten in advanced ceramics and semiconductor supply chains.

Indium Corp Gallium Recovery Grant Targets US Semiconductor Materials Security

Indium Corp

Indium Corp gallium recovery plans have gained US government support as Washington looks to build domestic supply chains for strategic semiconductor materials. The US-based metals refiner and manufacturer will receive a $3.2mn Department of Energy grant to recover gallium from industrial residues.

Indium Corp gallium recovery will focus on converting gallium-bearing residues into high-purity gallium for semiconductors and electronics. The project is part of the DOE’s Technology for Recovery and Advanced Critical-material Extraction-Gallium initiative.

Indium Corp gallium recovery matters because gallium is a critical input for compound semiconductors, radio-frequency devices, optoelectronics, defence systems and advanced electronics. The US remains heavily exposed to foreign supply because primary gallium production is concentrated in China.

The company will begin by developing a prototype to reclaim metallic gallium at its Rome, New York facility. In a second phase, it aims to scale the process to produce at least 1 t/yr of 99.99% pure gallium.

Gallium Residues Offer a Domestic Recovery Route

The project targets gallium-bearing residues rather than new primary mine output. This is strategically important because gallium is usually recovered as a by-product from alumina and zinc processing, making standalone primary supply difficult to build quickly.

Residue recovery can create a faster domestic supply route. If Indium Corp can economically recover high-purity gallium from waste streams, it could reduce dependence on imported material and strengthen US electronics supply chains.

The planned 99.99% purity level is important for semiconductor and electronics applications. High-purity gallium is used in materials such as gallium arsenide and gallium nitride, which support power electronics, LEDs, lasers, sensors, radar and communications equipment.

The Rome facility gives the project an existing industrial base. That can shorten the path from laboratory development to pilot production, although scale-up remains the key technical challenge.

A target of at least 1 t/yr is modest compared with global demand. However, the strategic value is larger than the tonnage suggests. The project could validate a recovery process that can later be expanded or replicated across other gallium-bearing waste streams.

TRACE-Ga Reflects US Push Into Critical Materials Recycling

Indium Corp was selected as one of five recipients under the DOE’s TRACE-Ga initiative. The programme will award a total of $5.4mn across companies working on gallium recovery and extraction technologies.

Other recipients include PHNX Materials, Atlantic Alumina, Found Energy and Kunin Technologies. Their inclusion shows that the US is exploring several recovery routes, from industrial waste refining to alumina-linked by-products and emerging mineral processing technologies.

The initiative reflects a broader policy shift. Washington is trying to secure critical materials not only through mining, but also through recycling, residue recovery, by-product extraction and domestic refining.

This approach is logical for gallium. China accounts for nearly all primary gallium production, making the market highly vulnerable to export controls, licensing delays and geopolitical disruption.

Gallium’s strategic value has increased because it supports both commercial and defence technologies. It is used in semiconductors, military systems, optics and high-frequency electronics.

For US manufacturers, secure gallium supply is becoming more urgent as demand grows from data centres, 5G systems, satellites, radar, power electronics and defence platforms.

The Indium Corp project will not solve the US gallium deficit by itself. But it is an important step toward creating a domestic recovery ecosystem for a metal that is difficult to source quickly during supply shocks.

The Metalnomist Commentary

The Indium Corp grant shows that gallium security will depend on by-product recovery and recycling as much as new mining. For the US, even small domestic gallium projects matter because the current supply chain is too concentrated for a material tied to semiconductors and defence.

Shifts in US Bauxite and Alumina Imports in the Third Quarter

US Alumina

Decline in Bauxite Imports

In the third quarter, the United States observed a noticeable decline in the imports of crude and dried bauxite, with figures falling from 648,000 tons the previous year to 553,000 tons. This significant drop reflects changes in the global bauxite market and potentially strategic shifts in domestic aluminum production policies. Jamaica and Turkey were the primary suppliers, sending 365,000 tons and 187,000 tons, respectively. Additionally, the US imported 73,300 tons of calcined bauxite, including 34,900 tons of refractory-grade bauxite.

Increase in Alumina Imports

Conversely, the imports of alumina saw an upswing, totaling 378,000 tons—a rise of 33,000 tons despite reduced shipments from Brazil, a major supplier, which fell by 19,000 tons. This increase comes amid an 18,000-ton decline in domestic primary alumina production, suggesting a growing reliance on imported alumina to meet the demands of the US aluminum industry.

US Rare Earth Supply Gets $134mn Boost for Waste-Based Processing Projects

US Rare Earth

US rare earth supply efforts are gaining another $134mn in federal support as the Department of Energy backs two demonstration projects designed to recover and refine rare earth materials from domestic waste streams.

US rare earth supply development will focus on projects led by the Colorado School of Mines and Phoenix Tailings. Both groups have been selected for award negotiations under the DOE’s Rare Earth Element Demonstration Facility Program.

US rare earth supply remains constrained by limited domestic separation, refining and metallisation capacity. The latest awards target those midstream gaps rather than simply adding new mining projects.

The projects are also notable because both will use waste-derived feedstock. That could create new rare earth supply without depending entirely on conventional mines.

Louisiana Project Targets Rare Earths From Bauxite Waste

The Colorado School of Mines-led project will develop a demonstration facility near the Gramercy alumina refinery in Louisiana’s St John the Baptist Parish.

The facility will process critical mineral-rich bauxite waste into separated rare earth oxides and then refine those oxides into rare earth metals.

This approach is strategically important because alumina production creates large waste streams that can contain recoverable critical minerals. Extracting rare earths from existing residues could turn an environmental liability into a domestic resource.

The project also connects the aluminium and rare earth value chains. Bauxite is primarily processed for alumina, but recovering additional metals could improve resource efficiency and create new revenue streams.

Colorado School of Mines will work with ElementUSA, Pacific Northwest National Laboratory, Principal Minerals and Rare Earth Technologies.

The project therefore combines academic expertise, national laboratory capability and industrial partners. That structure could help move rare earth recovery technology from laboratory development toward commercial-scale deployment.

Phoenix Tailings Adds Domestic Rare Earth Metal Capacity

Phoenix Tailings will build a separate demonstration-scale facility focused on producing high-purity rare earth metals from waste-derived domestic feedstock.

This is especially important because rare earth metal production remains a major bottleneck in western supply chains. Separated oxides still need to be converted into metals and alloys before they can support permanent magnet manufacturing.

Phoenix Tailings will collaborate with the Massachusetts Institute of Technology on the project.

The company’s focus on waste-derived feedstock also supports a circular supply model. Industrial residues, scrap and other secondary materials can complement mine supply while reducing reliance on imported rare earth inputs.

For the US, the strategic objective is integration. Domestic mining or recycling alone is insufficient unless separation, refining, metallisation and downstream manufacturing are also available.

The DOE funding shows that federal policy is increasingly targeting these missing processing stages. If the projects scale successfully, they could strengthen domestic supply for magnets, defence systems, electronics and advanced manufacturing.

The Metalnomist Commentary

The US is increasingly treating industrial waste as a critical minerals resource. The real value of these projects lies in proving that domestic residues can be converted into separated oxides and high-purity metals at commercial scale.

Alcoa gallium refinery funding strengthens US-Australia critical minerals pact

Alcoa

Alcoa gallium refinery funding is emerging as a flagship project in the US-Australia critical minerals alliance. The planned Western Australia gallium plant will sit beside Alcoa's Wagerup alumina refinery and target first output in 2026. As a result, Alcoa gallium refinery funding positions the company at the centre of Western efforts to rebalance gallium supply away from China.

Alcoa gallium refinery funding underpins joint US-Australia-Japan strategy

The Alcoa gallium refinery funding will support feasibility, development and construction of a 100 t/yr gallium facility at Wagerup. The US and Australian governments will provide capital and receive gallium offtake in proportion to their stakes. Therefore, public funding directly links taxpayer support to strategic volumes of a critical semiconductor material.

Meanwhile, the project will be structured as a broader joint venture with Jogmec and Sojitz, extending Japan's role in supply security. The original August announcement already positioned Sojitz as a key offtake customer for gallium output from the alumina refinery. Now, Alcoa gallium refinery funding expands that concept into a four-government and industry partnership spanning the US, Australia and Japan.

China currently dominates gallium, having produced 750t in 2024 with 1,000t of capacity, according to USGS data. However, Beijing's decision to ban gallium exports to the US at the end of 2024 exposed the fragility of Western supply chains. As a result, governments are now willing to co-invest directly in mid-stream processing rather than rely solely on market signals.

Gallium refinery supports semiconductors, defense and clean energy

Gallium is essential for power electronics, solar cells and LED technologies that underpin the energy transition. In addition, gallium arsenide and gallium nitride semiconductors are crucial for military radar and precision-guided weapons. Therefore, Alcoa gallium refinery funding directly supports both decarbonisation and defence industrial base resilience.

The new refinery will extract gallium from existing alumina refinery streams, demonstrating how legacy assets can be upgraded for critical minerals. This integration limits greenfield risk and uses established infrastructure, power and workforce at Wagerup. At the same time, it aligns with the US and Australian goal to accelerate permitting by leveraging brownfield sites.

Under the broader minerals deal signed at the White House, Washington and Canberra plan to invest more than $3bn in critical supply chains. The programme spans mining, processing, faster approvals and joint geological mapping. Within that framework, Alcoa gallium refinery funding becomes a practical showcase of how policy, capital and industry can move together.

The Metalnomist Commentary

This project illustrates how quickly critical minerals policy is shifting from strategy papers to balance-sheet commitments. If execution stays on track, Alcoa's gallium refinery could become a template for integrating refining into existing bulk-materials sites. The key question now is whether similar government-backed models will follow for other bottleneck materials such as indium and rare earths.

Hydro 4Q 2025 Earnings Fall as Alumina Weakness Offsets Aluminum Strength

Hydro

Hydro 4Q 2025 earnings fell sharply in the quarter as weaker alumina prices and currency effects hit profitability. The Norwegian producer reported quarterly Ebitda of NKr5.59bn, down 27.5pc from a year earlier. Lower realized alumina prices and a stronger Norwegian krone drove much of the decline. As a result, Hydro 4Q 2025 earnings showed how uneven the aluminum value chain remains.

The contrast inside the portfolio was clear. Hydro’s alumina business weakened significantly, while its aluminum metal segment delivered strong gains. Lower raw material costs and firmer aluminum prices supported primary metal earnings. However, weak downstream demand and poorer trading results offset much of that benefit. Therefore, Hydro 4Q 2025 earnings reflected strong upstream metal pricing but softer performance elsewhere.

Full-year performance looked more resilient than the quarter alone suggests. Hydro’s full-year Ebitda reached NKr28.9bn, up 9.87pc from 2024. That shows the company still benefited from stronger aluminum market conditions across the year. Meanwhile, the fourth quarter exposed growing pressure in alumina and downstream operations.

Hydro Alumina Business and Metal Markets Moved in Opposite Directions

Hydro alumina business was the weakest part of the quarter. Ebitda in bauxite and alumina fell 72pc year on year to NKr1.39bn. Lower alumina prices and a stronger Brazilian real weighed heavily on results. Rising Indonesian refining output and Chinese oversupply also pressured alumina pricing. Consequently, Hydro alumina business became the main drag on quarterly earnings.

The aluminum metal division told a different story. That segment posted Ebitda of NKr3.71bn, up 90.2pc from a year earlier. Lower alumina costs and higher all-in aluminum prices drove the improvement. LME three-month aluminum averaged $2,847/t in the quarter, above the prior-year level. As a result, aluminum metal earnings helped cushion weaker results elsewhere.

Metal markets were much less supportive. The division posted a negative Ebitda of NKr56mn, compared with a positive NKr318mn a year earlier. Lower sourcing and trading performance, negative inventory valuation, and currency effects all hurt results. However, recycling operations provided some partial support.

European Extrusion Demand Remains Soft Despite Restructuring Efforts

European extrusion demand remained weak and margins stayed under pressure. Hydro’s extrusion division reported a negative Ebitda of NKr62mn, down from positive earnings of NKr319mn a year earlier. Lower sales margins and lower volumes drove the decline. Therefore, downstream demand remains a serious concern for Hydro.

Demand trends offered only limited comfort. European extrusion demand was flat year on year, though it rose 3pc from the previous quarter. US demand was also flat year on year, but fell 8pc quarter on quarter. That suggests end markets are still not delivering a strong recovery. Consequently, Hydro continues facing a slow and fragile downstream environment.

The company is responding with restructuring. Hydro said it will close five extrusion plants in Europe this year. It also completed a strategic workforce reduction, with around 850 employees having left or expected to leave by the first half of 2026. As a result, Hydro is trying to protect long-term competitiveness while market conditions stay difficult.

The Metalnomist Commentary

Hydro’s quarter shows that strong aluminum prices alone cannot carry the full business when alumina and downstream segments weaken. The company still benefits from primary metal strength, but its earnings mix is becoming more dependent on that support. If downstream demand stays soft, restructuring and cost control will matter as much as market pricing in 2026.

CBA aluminum export pivot reshapes Brazil’s trade flows after US tariffs

CBA

CBA aluminum export pivot is underway as 50pc US tariffs bite. The CBA aluminum export pivot steers volumes toward Europe, Latin America, and Brazil. As a result, the CBA aluminum export pivot aims to protect pricing and margins.

Demand rebalancing offsets the US shortfall

CBA will redirect exports to nearer markets to dilute tariff risk. Executives said peers are making similar moves across Europe and the region. Meanwhile, low LME inventories could cushion price pressure from shifting trade. Domestic demand remains steady in construction, energy, and transportation.

Operations, costs, and alumina sourcing plans

CBA sold 119,000t in 2Q, with 91pc domestic and 9pc export. The firm did not disclose US volumes but flagged minimal exposure. However, Brazil’s aluminum association estimates R1.15bn supply-chain impact by 2025. Primary aluminum output slipped to 86,000t on maintenance and furnace shutdowns. Facilities have restarted, and management expects production to accelerate in coming quarters. Still, CBA pre-bought 31,500t alumina in 2Q and will source 30,000t more in 3Q. These actions secure deliveries but raise cash costs despite lower energy prices.

CBA tightens costs while absorbing price and sales headwinds. The company posted a R73mn quarterly loss, flat year on year. Therefore, execution depends on rapid ramp-up and disciplined alumina procurement. The pivot also relies on China and Brazil demand to absorb reallocated tons. Competitors are crowding into Europe, increasing competition and premia sensitivity. Pricing power may hinge on alloy mix, lead times, and logistics.

Strategic implications extend beyond a single quarter. Tariff-driven rerouting could reset trade lanes through 2025. Freight, port congestion, and credit terms will influence netbacks by corridor. Moreover, stable domestic end-markets offer baseline offtake for slab and FRP. If LME inventories stay lean, regional premia may remain resilient.

The Metalnomist Commentary

CBA’s quick rerouting shows how policy shocks rewire aluminum value chains. Watch alumina coverage, European premia, and Brazil’s downstream pull for margin recovery. If ramp-up holds and premia firm, the pivot can neutralize most US tariff drag.

Alcoa Western Australia Alumina Output Cut After Cyclone Narelle Gas Disruption

Alcoa Western Australia

Alcoa Western Australia alumina production was reduced after Cyclone Narelle disrupted domestic gas supply to the company’s Pinjarra and Wagerup refineries. The US aluminium producer temporarily lowered process flow rates at both facilities because of gas supply constraints in Western Australia.

The disruption followed Cyclone Narelle’s impact on key offshore and onshore gas infrastructure. Western Australia’s LNG and domestic gas systems faced interruptions after the cyclone passed over major production facilities.

Alcoa Western Australia alumina operations are important to the global aluminium value chain because alumina is the essential feedstock for primary aluminium smelting. Any sustained refinery disruption could affect alumina availability, regional pricing, and downstream aluminium supply planning.

Gas Supply Disruption Hits Alumina Refining Operations

Alumina refining depends heavily on reliable energy supply. Refineries require heat and process energy to convert bauxite into alumina, making gas availability a direct operational risk in Western Australia.

Alcoa said it had temporarily reduced process flow rates at Pinjarra and Wagerup, but it did not provide a timeline for returning to normal operations. That uncertainty will keep buyers and traders focused on the duration of the gas disruption.

Woodside Energy reported an interruption at the Karratha Gas Plant on 27 March. Chevron also took the Wheatstone facility offline on 26 March and said it would take weeks to return to full production after cyclone damage.

Weather Risk Adds Pressure to Aluminium Raw Material Supply

Alcoa Western Australia alumina output cuts show how weather events can quickly affect the aluminium supply chain. The issue is not bauxite availability, but the energy infrastructure needed to keep refining assets running.

Western Australia is a major alumina-producing region, and refinery curtailments can influence sentiment in the broader raw material market. If gas supply remains constrained, buyers may reassess short-term alumina availability and logistics risk.

The disruption also reinforces the importance of energy resilience for metals processing. As extreme weather affects ports, gas plants, power systems, and industrial sites, producers will need stronger contingency planning for critical inputs.

The Metalnomist Commentary

Alcoa’s refinery cuts show that alumina supply risk can emerge from energy infrastructure, not only mining or refinery equipment. For aluminium producers, secure and resilient power and gas supply is becoming a core competitiveness factor.

US-Australia rare earths investment targets critical minerals security

US-Australia rare earths Investment

The US-Australia rare earths investment is emerging as a flagship effort to reduce reliance on China’s critical minerals supply. Under a new bilateral deal, Washington and Canberra will each co-invest at least $1bn in priority projects over the next six months. As a result, the US-Australia rare earths investment will anchor an $8.5bn pipeline of mines, refineries and midstream assets across both countries.

US-Australia rare earths investment anchors $8.5bn project pipeline

The US-Australia rare earths investment centres on co-funding processing and refining capacity rather than just upstream mining. Initial commitments include around $200mn of support for a 100 t/yr gallium plant in Western Australia, adjacent to Alcoa’s Wagerup alumina refinery. Canberra has also approved a fresh $100mn equity injection into Arafura Rare Earths’ Nolans project, taking total state support for that asset above A$1bn.

Meanwhile, the US Export-Import Bank has signalled potential co-funding of up to $2.2bn for seven Australian developers. These include Northern Minerals, Graphinex, La Trobe Magnesium and VHM, which have received non-binding letters of intent. Together, these facilities could accelerate timelines for rare earths, gallium, graphite, magnesium and other strategic materials. The US-Australia rare earths investment therefore acts as a capital de-risking tool for projects that struggle with high upfront costs.

US-Australia rare earths investment reshapes pricing, permitting and project risk

The agreement also extends beyond direct finance, targeting structural barriers around pricing and permitting. Both governments will work through a new US-Australia Critical Minerals Supply Security Response Group to identify priority materials and address supply vulnerabilities. They have pledged to fast-track approvals and to explore pricing frameworks, including floors, to reduce price opacity and volatility in critical mineral markets.

Industry leaders argue that this support tackles a key bottleneck. Australian developers often face weak bankability because contract prices for rare earths and battery metals remain highly volatile. At the IMARC conference in Sydney, Arafura’s chief financial officer highlighted how the deal signals serious government commitment to resilient value chains. Likewise, Critical Minerals Queensland noted that price instability has historically discouraged investment, even when project geology is attractive.

The US-Australia rare earths investment also dovetails with domestic regulatory reforms. Western Australia recently released draft permitting changes that would enable a state “co-ordinator general” to shepherd priority projects through multiple agencies. This institutional support could shorten timelines for mines, refineries and midstream facilities feeding the bilateral critical minerals alliance. In parallel, industry groups such as the Minerals Council of Australia say the deal underscores Australia’s strategic role in future-facing sectors.

The Metalnomist Commentary

This agreement marks a shift from rhetoric to structured capital in the critical minerals space, with clear project pipelines and named beneficiaries. If pricing floors and permitting acceleration materialise, Australia could move from “potential supplier” to cornerstone hub for rare earths and allied materials. The next test will be whether these public commitments crowd in sufficient private capital to deliver bankable, on-time projects at scale.

Amag aluminium earnings fall in 2Q as US tariffs squeeze margins

Amag aluminium

Amag aluminium earnings fell in the second quarter as US tariffs and higher costs hit profitability. EBITDA dropped 34.7% to €34.6mn while revenue rose 3.5% to €384.8mn. Shipments edged up 0.4% to 110,800t, yet pricing pressure intensified. Meanwhile, the 50% US tariff effective 4 June will weigh more on the second half. As a result, Amag aluminium earnings remain under strain despite stable volumes.

Tariffs and costs pressure all divisions

Tariffs and input inflation affected metals, casting, and rolling. The metals division absorbed higher alumina prices and US import duties. The casting unit faced sharper price pressure for recycled cast alloys. Therefore, the rolling division endured tariff-driven trade flow shifts and market price declines. Elevated energy and labour costs compounded the squeeze on margins and Amag aluminium earnings.

Half-year results and H2 setup

First-half EBITDA fell 15.4% to €80.6mn on revenue up 11.1% to €786.2mn. Shipments increased 2.9% to 220,400t, but profitability lagged volume. The company expects the 50% US tariff to bite harder in H2 2025. Management maintained stable capacity utilisation, yet near-term losses from tariffs and costs cannot be offset. The CEO urged a viable US trade agreement and improved domestic conditions.

The Metalnomist Commentary

Tariff escalation is amplifying European downstream aluminium margin risk just as power and wage bills stay high. Amag’s levers are mix, energy efficiency, and sales re-routing while advocating predictable US-EU trade terms. Watch H2 for the full tariff impact and any relief from alumina and energy costs.

Alcoa Maintains 2024 Guidance as Third-Quarter Production and Revenue Climb

Alcoa

Alcoa Corporation, a leading U.S.-based integrated aluminum producer, upheld its 2024 production guidance for alumina and aluminum despite achieving increased quarterly production and revenue in Q3. The company continues to project aluminum production at 2.2-2.3 million metric tonnes (t) and alumina output at 9.8-10 million t, unchanged from prior estimates.

Third-Quarter Highlights

Aluminum production grew 5% year-over-year, reaching 559,000 t in Q3 2024 compared to 532,000 t in the same period last year. Aluminum shipments also rose slightly to 638,000 t from 630,000 t. Meanwhile, bauxite production declined to 9.4 million dry metric tonnes (dmt) from 10.7 million dmt a year ago. Alumina output decreased to 2.435 million t, down from 2.805 million t, with shipments falling to 2.052 million t.

Revenue and Market Dynamics

Alcoa’s Q3 revenue rose nearly 12% year-over-year to $2.9 billion, driven by higher alumina prices, which averaged $485/t compared to $354/t in Q3 2023. Aluminum prices also increased to $2,877/t, up from $2,647/t a year earlier. Third-party aluminum sales rose approximately 10% to $1.8 billion. Improved alumina pricing and lower raw material costs helped narrow segment losses to $11 million from $15 million in the same period last year.

The company posted $90 million in profits, a significant improvement from the $168 million loss reported in Q3 2023.

Strategic Developments

Alcoa raised its annual shipment forecast by 200,000 t to 12.9-13.1 million t, reflecting increased trading volumes. However, a wider spread between production and shipments emerged due to external sourcing of alumina amid the ongoing curtailment of the Kwinana refinery in Australia.

Alcoa is advancing a strategic partnership with IGNIS, a Spanish renewable energy investment firm. The agreement includes selling 25% of Alcoa's operations in Spain and a potential €175 million ($189 million) investment by Alcoa if required. The deal is contingent on government and employee support.

On 15 October, Alcoa signed a long-term supply agreement with Aluminum Bahrain (Alba) to deliver 1.5 million t of smelter-grade alumina over 10 years beginning in 2026, bolstering its position as a global alumina supplier.

Outlook

With strong alumina prices and strategic partnerships, Alcoa expects its alumina segment performance to improve by $30 million, driven by increased shipments and reduced production costs. As global aluminum demand remains steady, Alcoa’s ability to adapt through cost efficiency and partnerships positions it favorably for future growth.

Alba and Alcoa Renew Alumina Supply Agreement Amid Tightening Global Market

Aluminium Bahrain(Alba)

Aluminium Bahrain (Alba), a leading aluminium producer in the Middle East, has renewed its alumina supply agreement with the U.S.-based integrated aluminium company Alcoa. This new, extended agreement will secure up to 16.5 million tonnes of smelter-grade alumina over the next decade, beginning in 2026. This strategic partnership not only strengthens Alba’s operational resilience by ensuring a steady alumina supply but also bolsters its competitive stance in the global aluminium market.

In a recent statement, Alba CEO Ali al-Baqali remarked, “This agreement not only guarantees a steady supply of alumina for our operations but also reinforces our position as a key player in the global aluminium market.”

The renewal of Alba’s alumina supply agreement comes at a critical time as the alumina market faces tightening supply. This is largely due to recent output disruptions in China, a significant alumina-producing nation, which has put pressure on the supply chain. Additionally, Alcoa recently announced plans to fully suspend production at its 2.2 million tonne-per-year Kwinana refinery in Australia by the end of this year, further impacting global supply.

Adding to the challenges, Guinea recently paused bauxite shipments from the subsidiary of UAE-based Emirates Global Aluminium. Although initially this is not expected to directly impact production at Al Taweelah, Emirates Global’s alumina refinery in the UAE, such disruptions in Guinea, a major bauxite source, signal potential long-term effects on the alumina and aluminium industries worldwide.

Alcoa Shifts Focus to Aluminium Production with Alumina Cuts in 2025

Alcoa

US aluminium producer Alcoa has announced plans to cut alumina output and ramp up aluminium production in 2025. In its annual report, released on January 22, Alcoa revealed it had met its production targets for 2024, producing 10 million tons of alumina and 2.2 million tons of aluminium. While aluminium production grew by 4.8% from 2023, alumina output fell by 2.9%. This strategic move highlights Alcoa's ongoing adjustments in response to market conditions and operational challenges.

Alumina Production Cuts Continue into 2025

For 2025, Alcoa expects alumina production to range between 9.5 million and 9.7 million tons, marking the second consecutive year of output reductions. The company had previously halted operations at its Kwinana plant in Western Australia, which had a capacity of 2.2 million tons per year. This decision followed a combination of high operating costs, the plant's age, and soaring bauxite prices. As a result, Alcoa plans to continue sourcing alumina externally, a strategy it began in 2024 to fulfill customer orders and maintain supply chain efficiency.

Aluminium Production Growth Driven by Plant Resumptions

On the aluminium front, Alcoa saw significant growth, increasing its output by 4.8% in 2024. This increase was driven in part by the resumption of operations at its Warrick and Alumar joint venture smelters in the US and Brazil, which had been inactive for years. In 2025, Alcoa forecasts aluminium production to rise further to between 2.6 million and 2.8 million tons, as these plants continue to scale up operations. The company’s aluminium output is expected to remain steady through 2024, with quarterly production gradually increasing.

Alcoa Looks Ahead with Positive Aluminium Price Outlook

Alcoa's financial outlook for 2025 is further supported by the positive trend in aluminium prices. The London Metal Exchange's aluminium cash price rose from $2,110 per ton to $2,611 per ton over the past year, reflecting growing demand. Additionally, the removal of the tax rebate on commodities, including aluminium, by China in December 2024 is expected to further elevate prices, benefiting Alcoa's bottom line.

US UAE Gallium Production Partnership Challenges China's Critical Minerals Monopoly

EGA

US UAE gallium production partnership emerged through a strategic alliance between Emirates Global Aluminium (EGA), Tawazun Council, and RTX Corporation. The US UAE gallium production initiative targets extraction at EGA's Al Taweelah alumina refinery, representing a significant diversification effort away from Chinese-dominated gallium supply chains for critical defense and aerospace applications.

Strategic Partnership Addresses Defense Supply Chain Vulnerabilities

US UAE gallium production collaboration directly responds to China's dual-use export restrictions affecting defense contractors. RTX subsidiary Raytheon faces Chinese export bans, forcing the aerospace giant to secure alternative gallium sources for semiconductor, radio frequency device, and LED manufacturing. The memorandum of understanding establishes an exploratory framework for domestic gallium production capabilities.

Meanwhile, EGA and RTX plan additional agreements to conduct comprehensive feasibility studies for the Al Taweelah facility integration. The partnership leverages EGA's existing alumina refining infrastructure while providing RTX guaranteed access to critical materials. This strategic alignment addresses both companies' objectives of supply chain security and market diversification.

Gallium Applications Drive Defense Industry Demand

However, gallium's strategic importance extends beyond traditional aluminum production into advanced technology applications. The critical mineral serves essential roles in semiconductor manufacturing, radio frequency devices, light emitting diodes, and consumer electronics. Defense and aerospace sectors particularly depend on gallium for advanced radar systems, satellite communications, and electronic warfare capabilities.

Therefore, establishing UAE-based gallium production creates alternative supply sources for Western defense contractors facing Chinese export restrictions. The Al Taweelah location provides geographic diversification while leveraging established Middle Eastern industrial infrastructure. This positioning reduces dependence on single-source suppliers in geopolitically sensitive regions.

Regional Industrial Diversification Strategy

Furthermore, the gallium partnership aligns with broader UAE economic diversification initiatives beyond traditional hydrocarbon sectors. EGA simultaneously announced plans for joint anode manufacturing development with Chinese producer Sunstone, demonstrating comprehensive industrial expansion strategies. These partnerships position Abu Dhabi as a regional critical minerals processing hub.

As a result, the US-UAE collaboration exemplifies how allied nations coordinate critical minerals supply chain resilience against export control weaponization. The partnership model combines American technology expertise with Middle Eastern industrial capacity and geographic positioning. Such arrangements increasingly define international approaches to critical materials security in contested global markets.

The Metalnomist Commentary

The US-UAE gallium production partnership exemplifies strategic alliance formation in response to China's critical minerals export controls, demonstrating how defense contractors and allied governments collaborate to establish alternative supply chains. This initiative represents a broader trend of geographic diversification in critical materials processing, positioning the UAE as a key intermediary in Western supply chain security strategies.

EGA Guinea Bauxite Supply Deal Restores Route to UAE Alumina Operations

Bauxite

EGA Guinea bauxite supply has moved closer to normalisation after Emirates Global Aluminium reached an amicable settlement with Guinea over the revocation of its bauxite mining licence. The agreement will allow Guinean producer CBG to resume bauxite shipments to EGA’s operations in the UAE.

EGA Guinea bauxite supply had been disrupted since Guinean customs suspended shipments from EGA subsidiary Guinea Alumina in October 2024. The suspension followed delays in EGA’s plan to build an alumina refinery in Guinea.

EGA Guinea bauxite supply became more uncertain in 2025 when Guinea revoked EGA’s bauxite mining licence and reassigned it to newly created state-owned firm Nimba Mining. GAC continued to seek redress through legal action before the latest settlement.

The agreement includes a lump-sum payment by Guinea to GAC for the transfer of assets to Nimba Mining. It also renews EGA’s bauxite supply agreements with CBG under mutually beneficial commercial terms.

Guinea Settlement Reopens a Strategic Bauxite Channel

The settlement is important because Guinea is one of the world’s most important bauxite supply sources. Its high-volume export role makes it central to alumina refineries and integrated aluminium producers.

For EGA, access to Guinean bauxite supports feedstock security for its Al Taweelah alumina refinery in the UAE. Stable bauxite supply is essential because alumina production depends on consistent ore quality, logistics and long-term commercial arrangements.

The dispute also shows how resource nationalism is reshaping aluminium raw material supply. Guinea has been pushing for more domestic value creation and stronger state control over mining assets.

The revocation of EGA’s licence formed part of a broader review of more than 50 mining licences granted over the past two decades. Those licences covered bauxite, iron ore, gold, diamonds and graphite.

By transferring assets to Nimba Mining while renewing supply through CBG, Guinea preserves more state influence while allowing trade with EGA to resume. This gives both sides a practical route out of a prolonged dispute.

For the wider aluminium market, the settlement reduces one layer of uncertainty around bauxite flows. However, it also reinforces the need for producers to manage political risk in key mining jurisdictions.

Hormuz Disruption and Smelter Damage Still Cloud Recovery

The bauxite agreement does not immediately remove all operational risk for EGA. The resumption of shipments to Al Taweelah depends on the reopening of the Strait of Hormuz, which has been disrupted by the US-Israel and Iran war.

This adds a logistics risk to the feedstock recovery. Even with commercial terms resolved, bauxite and alumina supply chains still depend on safe shipping routes through one of the world’s most strategic maritime chokepoints.

EGA is also dealing with damage at its Al Taweelah aluminium smelter after a missile attack on 28 March. Operations there could take a year to resume, creating a separate challenge for the company’s primary aluminium output.

The situation highlights the dual exposure of integrated aluminium producers. They need secure upstream bauxite and alumina supply, but they also need reliable power, smelter operations and shipping routes.

For EGA, the Guinea settlement is a major positive for raw material continuity. But the company’s near-term recovery will still depend on geopolitical stability, shipping access and the pace of repairs at Al Taweelah.

The broader industrial message is clear. Aluminium supply security now depends on more than ore availability. It requires political settlement, maritime access, energy security and resilient smelting infrastructure.

The Metalnomist Commentary

EGA’s settlement with Guinea shows that bauxite supply is becoming a political asset, not just a mining contract. The deal restores an important feedstock route, but Hormuz disruption and Al Taweelah damage show how fragile integrated aluminium supply chains have become.

Metallium flash joule heating partnership targets US gallium and scandium from red mud

Metallium

The Metallium ElementUSA partnership aims to unlock gallium and scandium supply inside the US. The companies will recover gallium and scandium recovery streams from alumina red mud in Louisiana. Therefore, the Metallium ElementUSA partnership positions red mud as a strategic critical minerals feedstock.

Metallium will deploy its flash joule heating technology at a demonstration facility ElementUSA is developing in Gramercy, Louisiana. The project targets gallium, scandium, and other critical minerals. Meanwhile, the work builds on growing pressure to diversify supply chains away from China.

DoD funding accelerates pilot work and scale-up options

US defense funding has moved the project into an implementation pathway. The US Department of Defense awarded $29.9mn to ElementUSA in November for the facility and early work in Texas. As a result, ElementUSA can move faster from concept to pilot operations.

ElementUSA also committed up to $10.1mn to help Metallium install flash joule heating units in Anahuac, Texas. The teams will run pilot-scale testing on red mud feedstock. However, the longer-term plan targets capacity ramp-up at the Gramercy site.

Red mud volumes create a large domestic feedstock base

Red mud availability anchors the economics of any recovery process. ElementUSA has up to 30mn tonnes of red mud under contract at the Gramercy alumina refinery. Therefore, the Metallium ElementUSA partnership can test at scale without sourcing constraints.

Gallium and scandium sit at the intersection of defense demand and supply risk. Both metals support advanced electronics, radar systems, and lightweight alloys. Meanwhile, recent Chinese export controls have tightened Western supply and elevated strategic urgency.

The Metalnomist Commentary

This project matters because red mud converts a liability into a domestic critical minerals option. However, investors will watch recovery yields, purity specs, and unit costs versus imported material. Therefore, the pilot results will decide whether flash joule heating becomes a scalable US pathway for gallium and scandium.