Century Aluminum and Glencore to Supply 150,000 metric tons of Natur‐Al™ to Hammerer Aluminium Industries

Rhea-AI Summary

Century Aluminum Company (NASDAQ: CENX) has secured a five-year agreement to supply 150,000 metric tons of Natur‐Al™ aluminum to Hammerer Aluminium Industries, with Glencore handling the supply logistics. Natur‐Al™ is produced using 100% renewable energy sources at Century's facility in Iceland and boasts one of the lowest CO₂ footprints in the industry. The direct CO₂ emissions for Natur‐Al™ are below two tonnes per tonne of aluminum, significantly less than the industry average. This partnership reflects Century's commitment to sustainability and the demand for low-carbon aluminum products.

Positive

• Secured a five-year contract for 150,000 metric tons of low-carbon Natur‐Al™ aluminum.
• Natur‐Al™ has a CO₂ footprint significantly below the industry average.
• Production is powered by 100% renewable energy.

Negative

• None.

CHICAGO, Feb. 04, 2021 (GLOBE NEWSWIRE) -- Century Aluminum Company (NASDAQ: CENX) has finalized the sale of 150,000 metric tons of Natur‐Al™ aluminum over five years to Austrian firm Hammerer Aluminium Industries (HAI). Natur‐Al™ products are made with energy from 100% renewable sources at Century’s Norðurál Grundartangi aluminum plant in Iceland. While the product line has been in development over several years it was officially inaugurated in 2020. The aluminum will be supplied to Hammerer by Glencore.

Natur‐Al™ aluminum has direct CO₂ levels below two tonnes of CO₂ per tonne of aluminum – one of the lowest CO₂ footprints in the world for the metal. The total CO₂ footprint is four tonnes per tonne of aluminum, less than one‐quarter of the industry average. To achieve these levels requires strict adherence to the highest standards in the sourcing of bauxite and alumina, the exclusive use of green energy from hydroelectric and geothermal sources, and seamless operation of the production process. Further information

Michael Bless, Century’s President & CEO, commented, "We are very pleased to be working with our colleagues at Hammerer and Glencore on our first major sale of Natur‐Al™. Century is committed to working with all our partners across the supply chain to produce a sustainable and lower carbon aluminum product. We firmly believe that the Natur‐Al™ low‐carbon product allows Century and our customers to contribute towards a better, greener future. The use of aluminum instead of steel, or other heavier metals, in manufacturing has already delivered significant reductions in CO₂ emissions; an excellent example is the increased fuel efficiency in automobiles with significant aluminum content. Natur‐Al™ offers a way for manufacturers to further lighten their carbon footprint. We look forward to working with our customers on further opportunities.”

Rob van Gils, Hammerer Aluminium Industries’ CEO, commented, “We are delighted about this partnership that will secure the supply of aluminium produced with one of the lowest CO₂ footprints available. As a recycler and remelter the CO₂ content of the primary aluminium we buy has a tremendous impact on our overall footprint. This supply agreement is a clear statement that HAI group is not compromising on our commitment to sustainability. Combining Natur‐Al™ aluminium with our recycled materials will allow us to produce billets at less than two tonnes of CO₂ per tonne of metal. It underlines our ambition to contribute to a better future and that aluminium is part of the solution for the ambitions of the EU Green Deal.”

Robin Scheiner, Glencore’s Head of Alumina and Aluminium, commented, “We are proud to support our long‐standing partners in the manufacture and supply of high quality, low‐carbon aluminium. Our commitment to sourcing and supplying sustainable aluminium will be enhanced through our membership of the Aluminium Stewardship Initiative (ASI). Each of us has a role to play in the energy and mobility transition. At Glencore over half the aluminium we supply is low‐carbon, a key element in our ambition to be net zero by 2050.”

Norðurál Grundartangi ehf. is certified by the Aluminium Stewardship Initiative (ASI) for the responsible production, sourcing and stewardship of aluminum. All CO₂ emissions are audited by independent third parties, facilitating the life‐cycle assessments for our customers.

About Century Aluminum Company

Century Aluminum Company is a global producer of primary aluminum and operates aluminum reduction facilities in the United States and Iceland with approximately 1 million tonnes per year primary aluminum production capacity. In 2020 Century launched its low carbon product line, Natur-Al™, produced in Iceland. Century is also the largest producer of high purity primary aluminum in North America which is essential for the aerospace industry. Our teams apply knowledge, experience and best practices to find solutions and develop processes to meet growing market demand. This focus on continuous improvement is motivated by our commitment to deliver consistent, high-quality products to our customers.

Century Aluminum is committed to work with its customers towards sustainable and lower carbon products and we sense an increased demand for responsible aluminum production. Natur-Al™ enables our customers to significantly reduce or fully offset the carbon footprint of their products. Our mission is to enhance the value of all products that are built with our metal. We want manufacturers to use our product with pride, and to gain an edge in the highly competitive markets for consumer goods, vehicles, packaging and construction materials

Visit www.centuryaluminum.com for more information.

About Hammerer Aluminium Industries

Hammerer Aluminium Industries employs 1,800 people. Founded in 2007, the company has its headquarters in Ranshofen, Upper Austria, and has eight other locations in Germany, Romania and Poland. HAI Group is one of the largest family owned companies in the aluminium‐processing industry in Europe. HAI covers the whole value chain from recycling to casting, extrusion and several value-added operations in the processing division. HAI Casting is focused on recycling and therefore 80% of the material processed in HAI Casting is scrap. Therefore, HAI makes a valuable contribution to the European Green Deal and its focus on the circular economy. In two of Europe's most modern and flexible casthouses HAI produces 220,000 metric tons of Extrusion Billet, Rolling Slab, Foundry Ingot and Desox. With its 10 extrusion lines HAI Extrusion can produce up to 100,000 metric tons of high‐quality extrusions annually. The product range is completed by several value‐added operations in the processing division where components are produced. HAI Group has a well‐balanced product portfolio. HAI’s three pillar strategy secures stability and independence – the products can be found in the field of architecture, building and construction, electrical and general engineering applications, commercial vehicles, railway and of course automotive – here with a strong focus on e‐mobility projects. HAI has also been awarded the Performance Standard Certification of the Aluminium Steward Initiative (ASI) for both casthouses. HAI Group is proud to be one of the most sustainable producers in the European aluminium industry.

About Glencore

Glencore is one of the world’s largest global diversified natural resource companies and a major producer and marketer of more than 60 responsibly‐sourced commodities that advance everyday life. The Group's operations comprise around 150 mining and metallurgical sites and oil production assets. With a strong footprint in over 35 countries in both established and emerging regions for natural resources, Glencore's industrial activities are supported by a global network of more than 30 marketing offices. Glencore's customers are industrial consumers, such as those in the automotive, steel, power generation, battery manufacturing and oil sectors. We also provide financing, logistics and other services to producers and consumers of commodities. Glencore's companies employ around 160,000 people, including contractors. Glencore is proud to be a member of the Voluntary Principles on Security and Human Rights and the International Council on Mining and Metals. We are an active participant in the Extractive Industries Transparency Initiative. Our ambition is to be a net zero total emissions company by 2050.

Cautionary Statement

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are statements about future events and are based on our current expectations. These forward-looking statements may be identified by the words "believe," "expect," "hope," "target," "anticipate," "intend," "plan," "seek," "estimate," "potential," "project," "scheduled," "forecast" or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "could," "might," or "may." Any statement that reflects expectations, assumptions or projections about the future, other than statements of historical fact, is a forward-looking statement.  Our forward-looking statements may include, without limitation, statements with respect to: our assessment of the global aluminum market, including for low-carbon products, and aluminum prices (including premiums); future use and impact of aluminum in manufacturing, automobile and other industries; future global and local financial and economic conditions; and our future business objectives, strategies and initiatives.

Where we express an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. However, our forward-looking statements are based on current expectations and assumptions that are subject to risks and uncertainties which may cause actual results to differ materially from future results expressed, projected or implied by those forward-looking statements. Important factors that could cause actual results and events to differ from those described in such forward-looking statements can be found in the risk factors and forward-looking statements cautionary language contained in our Annual Report on Form 10-K, quarterly reports on Form 10-Q and in other filings made with the Securities and Exchange Commission. Although we have attempted to identify those material factors that could cause actual results or events to differ from those described in such forward-looking statements, there may be other factors that could cause results or events to differ from those anticipated, estimated or intended. Many of these factors are beyond our ability to control or predict. Given these uncertainties, investors are cautioned not to place undue reliance on our forward-looking statements. We undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events, or otherwise.

Contacts

Peter Trpkovski
Head of Investors
312-696-3132

Sólveig Bergmann
Head of Communications
354-820-4004

Source: Century Aluminum Company

FAQ

What is the Natur‐Al™ aluminum supply agreement with Hammerer Aluminium Industries?

Century Aluminum will supply 150,000 metric tons of Natur‐Al™ aluminum over five years to Hammerer Aluminium Industries.

When was the Natur‐Al™ aluminum product line launched?

The Natur‐Al™ aluminum product line was officially launched in 2020.

How does Natur‐Al™ aluminum reduce CO₂ emissions?

Natur‐Al™ aluminum has direct CO₂ emissions below two tonnes per tonne, which is less than one-quarter of the industry average.

Who will supply the Natur‐Al™ aluminum to Hammerer Aluminium?

The aluminum will be supplied by Glencore.

What is the significance of the Natur‐Al™ aluminum product?

Natur‐Al™ aluminum allows manufacturers to further reduce their carbon footprint, aligning with sustainability goals.