Russian aluminium producer Rusal is planning to demerge its higher carbon assets into a separate company.
The move is part of Rusal’s aim to achieve carbon neutrality by 2050 and would result in two companies with separate strategies.
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By GlobalDataAs part of the plan, Rusal will change its name to AL+.
RUSAL general director Evgenii Nikitin said: “This transformation represents our commitment to our core values and environmental stewardship progress as we continue along our journey as a clean, low carbon, transparent aluminium and VAPs producer.”
Following the proposed demerger, the newly created company will comprise four alumina refineries in Achinsk, Bogoslovsk, Urals and Pikalevo in Russia.
The entity, which will also own smelters in Bratsk, Irkutsk, Novokuznetsk, Volgograd and Kandalaksha in Russia, will focus on ‘promising growing markets’.
The new entity will also own two bauxite mines in Russia.
AL+ will retain the majority of production assets and focus on developing inert anode technology to achieve carbon-free aluminium production.
Rusal board of directors chairman Bernard Zonneveld said that AL+ will focus on its Net Zero priorities, further promoting its low carbon brand ALLOW whereas the newly created company would focus on delivering a long term modernisation programme.
Zonneveld stated: “The proposed transformation would allow both companies to unlock their full potential. I believe that the proposed separation of assets with different carbon footprint will open the door for future shareholder value creation and will accelerate growth opportunities.”
Rusal’s parent company En+ Group executive chairman Lord Barker said: “AL+ will be a market leader in green aluminium production as measured by carbon footprint and other environmental credentials.”