Jamalco fire recovery plan to cost $3b now, more later

The recovery from a fire at the Jamalco alumina plant will cost nearly $3 billion in local currency, initially, just to get it back to half capacity by next June, according to majority owner Noble Group.

In late August the alumina plant was ravaged by fire, resulting in production being severely hampered. The LNG-fired power plant that supplies the complex was spared any damage and continues to operate at full capacity.

“The capital required is estimated at US$19 million ($2.8 billion) and the production is estimated to resume by the end of June 2022,” said Noble.

Jamalco expects to return to full capacity by September 2022, which requires the use of two digesters, that is, silos that process bauxite; and the rental of gas turbines to improve the power plant’s reliability.

Also, the company indicated that it would embark on a long-term recovery strategy involving building a new gas-fired powerhouse to replace the rented equipment. The powerhouse contains boilers and equipment enclosed within a warehouse.