Thursday, June 26, 2008

Alcoa looking into deal with Vietnam refinery

By The Associated Press

Wednesday, June 25, 2008

Aluminum producer Alcoa Inc. announced Tuesday that it will look into buying a stake in a refinery project with a state-owned minerals development company in Vietnam.

Under an agreement with Vietnam National Coal-Mineral Industries Group, an Alcoa subsidiary will conduct due diligence on buying a 40 percent stake in the proposed Nhan Co. alumina refinery. The facility, to be built in Dak Nong Province, would produce 600,000 metric tons per year of alumina, a material made from bauxite and used to make aluminum.

If the transaction goes ahead, Alcoa World Alumina and Chemicals will own 40 percent, the Vietnamese company 51 percent and other investors 9 percent of the Nhan Co. refinery and bauxite mine.

Pittsburgh-based Alcoa has a 60 percent stake in Alcoa World Alumina and Chemicals.