Rio Tinto Group (ASX:RIO) signed a memorandum of understanding with AMG Metals & Materials to jointly assess the feasibility of developing an integrated low-carbon aluminum project powered by renewable energy in India, Rio Tinto said in a statement Thursday.
Together, the companies will consider the potential development of up to 1 million tonnes per annum (Mtpa) of primary aluminium smelter and 2 Mtpa of alumina production, both powered by renewable wind and solar energy firmed by pumped hydro storage, per the statement.
The development will comprise a study to evaluate a potential first phase 500,000 tonnes per annum primary aluminum smelter in a favorable location in India.
As part of the study, AMG will examine a firmed renewable energy technology with Greenko, while Rio Tinto will explore a commercial alumina technology. The study will also assess smelting technology options to determine the most cost-effective for the project, Rio Tinto said.
The company's shares rose nearly 3% in recent Thursday trade.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.