The aluminium remelt facility at Holyhead in Wales is to close within two months with the loss of around 60 jobs.
Anglesey Aluminium Metal (AAM) is jointly owned by Rio Tinto (51%) and Kaiser Aluminum & Chemical Corporation (49%) and was converted into a remelt operation in 2009 when smelting ended on the site with the loss of nearly 400 workers.
In a statement on its website, AAM said: “In spite of extensive efforts to identify options to ensure the future viability of its remelt facility in Holyhead, the business will cease operations within the next two months resulting in approximately 60 direct job losses.
“Over the last few months an extensive effort has been made by AAM to identify potential money saving and value creation opportunities to offset the substantial losses facing the business. These losses were due to increased competition, material cost increases and a drop in demand for its products”.
AAM says small team will be kept on site to continue the de-commissioning works and maintain the site until it has been sold.
Chairman Klaus Stingl is quoted as saying: “The AAM board recognise the outstanding work that has been carried out by the employees and management team at Anglesey Aluminium in addition to their commitment to safety and their excellent work ethic”
Over the last three years nearly 250, 000 tonnes of billet for the extrusion market has been produced.
In July 2012 MRW reported that the main issue behind a series of closures in recent years is that the production of aluminium by primary smelters is an energy-intensive process - with no way to avoid the use of huge amounts of electricity in its production.
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