US-based rolled aluminium maker Novelis will invest about $50m to install a coating line for its beverage can end stock at its operations in Pindamonhangaba, Brazil.

The line is expected to be operational towards the end of 2013 and will be to be fully integrated with in-line levelling and trimming using the latest technology.

According to the company, the line will have a capacity to process 100,000t of aluminium sheet per annum.

Novelis president and chief executive officer Phil Martens said the investment is the most recent step in an ongoing programme to expand the supply of products in Brazil and South America.

Marco Palmieri, Novelis senior vice president and president of Novelis South America, said the funds will increase the company’s can sheet offering for customers in the region and allow Novelis to meet the growing demand for its products.

The announcement is in addition to a $300m rolling mill expansion currently under way at the plant and a further $30m has been invested over the last two years to expand the recycling capacity, as well as establishing a network of used can collection centres within the country.

Earlier in November, the firm announced it would invest $32m in a new recycling line to double the plant’s capacity to recycle used beverage cans and other aluminum scrap from 200,000mt to 390,000t a year.

The supplier of can body and can end stock in South America forecasts that the demand for aluminum beverage containers in the region will grow by 7% a year until 2020.

The company operates in 11 countries and reported a revenue of $10.6bn in 2011.