Rio Tinto, AMG plan $6 bn green smelter

Global mining major Rio Tinto and India's AMG Metals & Minerals plan to set up the world's largest renewable-powered aluminium facility in the country at an investment of about $6 billion, said two people aware of the development.

- Rituraj Baruah & Utpal Bhaskar

NEW DELHI:

The two companies have signed a memorandum of understanding (MoU) to jointly assess the feasibility of developing an integrated low-carbon aluminium project powered by renewable energy in India, a joint statement said.

This development assumes significance in the backdrop of several developed economies planning to impose carbon tax on imports, including the European Union's Carbon Border Adjustment Mechanism (CBAM), bringing in stringent norms.

The plan includes building a 1 million tonne per annum (mtpa) aluminium smelter and a 2 mtpa alumina refinery.