Norway-based aluminium company Hydro has signed an agreement to purchase land for constructing a new aluminium recycling plant in Torija, Spain.

This land purchase agreement was signed with a subsidiary of the Pulsar Properties Group.

The company is planning to invest €130m ($140.4m) to €140m ($149.8m) for the entire project, subject to the final facility design, market conditions, as well as certain macroeconomic developments.

A final investment decision from Hydro is expected to be announced by the end of the year.

Hydro’s executive vice-president for Aluminium Metal Eivind Kallevik said: “The European and Iberian market for aluminium continues to grow.

“This investment will be an important step towards Hydro’s ambition to recycle more post-consumer aluminium, strengthening our position to capture value from growing demand for greener and circular aluminium.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Once constructed, the new plant is projected to have a recycling capacity of 120,000 tonnes of aluminium every year and will provide 65 direct employment opportunities.

The facility will also be able to produce Hydro CIRCAL and other recycled low-carbon aluminium that will have a carbon dioxide (CO₂) footprint of 4kg per kilogram of aluminium or below.

According to Hydro, its CIRCAL extrusion ingot consists of approximately 75% post-consumer scrap and has a CO₂ footprint of 2.3kg per kilogram of aluminium, which has been certified for use by third-party auditor DNV GL.

Kallevik added: “Since aluminium is infinitely recyclable, keeping post-consumer scrap in the loop is crucial, as recycling requires 95% less energy than primary production.

“Increased recycling of post-consumer scrap is an opportunity for Europe to secure domestic access to aluminium, which is a strategic issue in view of multiple crises facing Europe.”