Nov 13 2006
The assets of Hamburger Aluminium Werk (HAW) will be sold to German Trimet Aluminium AG with effect as of 1 December.
Today, the three HAW shareholders, Alcoa, AMAG and Hydro, with 33.33% each, signed respective agreements with Trimet and with the owner of the site's real estate, the Hamburg Port Authority (HPA). Trimet is to restart the plant, which will offer at least 400 jobs in the new operation, according to a joint press release.
The three current owners in 2005 decided to close HAW because of the high power prices in Germany. Since this decision was made, the price for primary aluminium, as noted on the London Metal Exchange, has clearly increased, while spot price for the raw material alumina has come sharply down. However, forward prices in the German power market have increased.
The HAW shareholders still miss a German power price regime that provides a sustainable, long-term perspective for aluminium production. Based on a specific product portfolio, Trimet is ready to take the challenge for restarting the plant and create new employment.
The Hamburg Port Authority has facilitated this transaction by agreeing to the termination of HAW’s lease agreement, at terms acceptable to both parties.
As main part of today's deal, all HAW assets are sold to Trimet who will restart the anode plant and the electrolysis. In addition, Hydro will sell to Trimet certain site infrastructure assets that it acquired from HAW when it was closed. Hydro and Trimet will simultaneously enter an agreement to provide site services to one another.
Hydro and the Hamburg Port Authority have agreed on a draft of a new lease agreement for the casthouse area, which until now has been subleased from HAW. As well, Trimet and the Hamburg Port Authority have agreed on a new lease agreement for the HAW site.
In July 2005, HAW had 551 employees. Of these, 33 still carry out maintenance on the HAW assets. Hydro, who acquired the site's casthouse, today employs 103 former HAW employees. 89 colleagues have found other, new employers. Benefiting from the HAW shareholders' social plan package, 22 people left with a compensation payment, 71 retired or working part-time, the others are being supervised by a transfer agency, with some of them participating in training and qualification programs or work placement and internship measures.