US-based aluminium packaging provider Novelis has revealed plans to invest $2.5bn to develop a low-carbon recycling and rolling plant in Alabama.

Located in Bay Minette, the fully integrated, greenfield recycling and rolling plant will have the capacity to process 600,000tpa of finished aluminium goods.

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The facility will address growing demand for aluminium beverage can sheets in North America by supplying more than half of its output within the continent.

It is expected to generate up to 1,000 ‘high-paying’ and ‘advanced’ jobs in modern manufacturing.

Novelis said that site work on the facility has already started, with plans to commission it in mid-2025.

The company plans to expand the plant’s capacity in future to match demand.

Novelis president and CEO Steve Fisher said: “Through this investment, we are making a demonstrative commitment to continue to grow alongside our customers and meet their needs for low-carbon, highly sustainable aluminium solutions.

“In addition, we are well-positioned to efficiently expand capacity at this facility in the future – above the 600,000t announced today – to capture ongoing strong demand.

“Our readiness to invest to serve growing markets is a perfect example of how we are delivering on our company purpose of shaping a sustainable world together.” 

Novelis’ decision to develop the facility is driven by high demand for flat-rolled, low-carbon aluminium from can manufacturers and beverage companies in North America.

The company said that the plant will be the first fully integrated aluminium mill built in the US in 40 years.

It will be powered primarily by renewable energy, use recycled water and be zero-waste.

In addition to beverage can recycling, the facility will serve the automotive market, in which aluminium is the fastest-growing material.

Earlier this year, Novelis revealed plans to develop a facility in South Korea with an investment of around $50m.