Saturday, January 17, 2009

Smelting To End At Anglesey Aluminium

Rio Tinto has announced that smelting operations at its 51 percent owned Anglesey Aluminium operation in Wales will cease at the end of its power supply contract in September.

The company has said it will continue to pursue alternative sources of affordable power though as yet, no sources have yet been identified that would allow the uninterrupted continuation of smelting operations.

In a statement David Bloor, managing director of Anglesey Aluminium, said: "We have worked hard over many months in our efforts to extend the existing power contract beyond September of this year but have not yet been successful."

"The operation is dependent for its power on the nearby Wylfa nuclear power station which is itself due for closure within the next few years. We are fully aware of the significant impact on the workforce and on the local community and will work with partners and stakeholders to develop other long term options in line with existing operations, the needs of the local community, and the economic market situation."

The Anglesey operation employs around 500 people.

Rio Tinto also announced a cut of 241 jobs at its Utah operations as part of a global plan to reduce costs as it struggles with the global economic downturn.

The cuts include 66 current employees and 175 contractors from Kennecott Utah Copper, Kennecott Land, Kennecott Exploration and Rio Tinto service functions.

There are currently 2,400 employees working for Rio Tinto in Utah, it said.

Rio Tinto said it will offer affected employees severance packages and outplacement assistance.

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