Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

Century Aluminum has disclosed that it may shut down its Mt Holly aluminum smelter in Goose Creek, South Carolina due to power troubles. 

 

According to media reports, the American aluminum maker has sent out notices to its employees that the plant could shut down by December 31, 2020, if it does not secure a “competitively-priced power arrangement.” The smelter recently lost a court battle with the state to establish its own power source. 

 

Century avails on 25pc of its power from the municipal power supplier, Santee Cooper at present. The remainder is leased out to independent suppliers who offer lower rates. 

 

Santee officials have reportedly stated that the price of electric power to the smelter cannot be lowered as it is already close to the cost price of conveying the current from the power station to Century’s facility. 

 

Mt Holly has a capacity to produce 229,000mt of aluminum slabs, billets, and ingots in a year and currently employs about 310 workers who would lose their jobs if the plant is shut by the end of 2020. 

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