alcoa inc (AA) Snapshot

Alcoa announced it has completed the expansion of aluminum lithium capacity at its Kitts Green facility in the United Kingdom to serve the growing demand for the company's 3rd generation aluminum lithium alloys. Alcoa projects its aluminum lithium revenues will quadruple over the next six years to nearly $200 million. The Kitts Green expansion was the second phase of the three-part expansion program by the company to satisfy customer demand for advanced aerospace products and patented alloys, which allow airframers to build more fuel efficient and lower-cost airplanes vs. composite alternatives. The completion of the Kitts Green expansion was announced at the Paris Air Show. Alcoa upgraded and expanded casting capacity at the Kitts Green plant and also expanded capacity at its Technology Center in Alcoa Center, PA by 30%. The third phase of the expansion is a new $90 million facility under construction adjacent to the company's Lafayette, Indiana plant that will provide an additional 20,000 metric tons of aluminum lithium. The new facility will supply round and rectangular ingot for rolled, extruded and forged applications, in sizes compatible with the aluminum aerospace components in service. The Lafayette expansion is scheduled to be completed and online by the end of 2014. Alcoa's new aluminum lithium alloys provide the best strength-to-weight performance in Alcoa's aerospace alloy portfolio combined with better stiffness, damage tolerance, and corrosion resistance. The alloys are used in extrusions, forgings, sheet and plate applications across aircraft structures, including airplane wings and fuselage components. The expansions follow discussions with airframers subsequent to the launch of the alloys.

The negotiations over Klesch & Company Limited’s potential acquisition of plant of Alcoa Inc. (NYSE:AA) in Sardinia have stalled, the Italian Industry Ministry said. Klesch presented a formal expression of interest in the aluminum smelter, which is being closed by Alcoa in 2012. The Ministry added that it would be looking for other buyers at both the national and international level. It added that Klesch may be contacted again in future.

Alcoa Inc. announced completion of a first-of-its-kind engineered wetlands wastewater management system in Saudi Arabia at the Ma'aden-Alcoa joint venture project site. The newly constructed system will reduce water demand by nearly two million US gallons (7.5 million litres) per day and save more than USD 7 million (SAR 26 million) annually that would otherwise be used to purchase fresh water. The Alcoa-designed and engineered technology -- known as a Natural Engineered Wastewater Treatment system -- collects sanitary and industrial wastewater and then cleans and disinfects the water without the use of chemicals or the creation of water discharge and odors associated with conventional tank systems. The water will then be reused in the manufacturing process and for irrigation at the Ma'aden-Alcoa aluminum complex at Ras Al Khair. The complex includes a refinery, smelter and rolling mill. This sustainable technology, demonstrated via full-scale deployment at the Alcoa Technical Center near Pittsburgh, Pennsylvania, is now being considered for other wastewater treatment applications throughout Saudi Arabia. Alcoa technical experts developed the system to mimic the physical, chemical and biological processes of natural wetlands. In addition to saving water and money, the innovative design was constructed six months faster than a conventional tank-based system and eliminated an estimated 1,000 metric tons of steel for piping and tanks. The project is expected to be fully operational by the end of July 2013. Alcoa's wetlands system comprises three steps including (1) an anaerobic treatment tank which breaks down and separates organic material in the water; (2) a passive engineered wetland that utilizes vegetation for further treatment of organics and removal of nitrogen and metals; and (3) a cell housing bauxite-based technology that disinfects and polishes the water. The result is water treated to the same or better quality as that of a conventional system.