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Hydro Signs MoU for Possible Use of Natural Gas at Alunorte

Source: 7/23/2020, Location: South America

Hydro has signed a Memorandum of Understanding (MoU) with Golar Power with the aim to replace a major part of its current fuel oil consumption at the Hydro Alunorte alumina refinery in Brazil with more environmentally friendly natural gas.

According to the MoU signed with Golar Power on July 22, the supply of liquefied natural gas (LNG) is expected to be available in Barcarena during 2022. Hydro aims to adapt the calcination process and part of the steam generation at Alunorte, in order to switch from fuel oil to LNG.

Golar Power aims to develop and enable the use of natural gas through an LNG regasification terminal, which will be located near the Alunorte refinery in Barcarena.

“Hydro is committed to drive sustainability and industry best practices. The LNG project will help make our operation more sustainable and will enable access to natural gas for other industries and consumers in the state of Pará,” says John Thuestad, Executive Vice President for Hydro’s Bauxite & Alumina business area.

Hydro Alunorte will be the first significant gas consumer in the state of Pará, and thereby a facilitator in establishing the infrastructure for LNG. Availability of natural gas is important for industrial development in the region and enables the substitution of more carbon-intensive fuels, such as fuel oil and diesel.

This project is in line with Hydro’s climate strategy and commitment to reduce its own greenhouse gas emissions by 30% by 2030.

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