FACTBOX-Norsk Hydro aluminum deal with Vale

OSLO, May 2 (BestGrowthStock) – Norwegian aluminum producer Norsk
Hydro (NHY.OL: ) is buying for $4.9 billion including debt the
aluminum business of Brazilian mining giant Vale’s (VALE5.SA: ),
to secure access to bauxite and alumina. [ID:LDE6410D6]

Below are details about the assets Hydro is acquiring:

BAUXITE

* Hydro buys a 60 percent stake in Paragominas, one of the
largest bauxite mines in the world, situated in the northern
state of Para. In 2009, it produced 6.2 million tonnes of
bauxite, a raw material for aluminum.

Paragominas has an annual bauxite production capacity of
9.9 million tonnes and eyes an expansion to 15 million tonnes.
It employs 825 people.

Hydro has the right to take over the remaining 40 percent
stake in Paragominas in two installments, in 2013 and 2015
respectively, for $200 million in cash for each tranche.

ALUMINA

* A 91 percent ownership in Alunorte, the world’s largest
alumina refinery, also located in Para state. Alunorte
processes some of the bauxite extracted at Paragominas.

In 2009, Alunorte produced 6 million tones of alumina, out
of a total capacity of 6.3 million tonnes. It employs 1,500
people.

The transaction will make Hydro the world’s No. 5 alumina
producer. Hydro has been the world’s ninth biggest alumina
maker, producing 2.1 million tonnes in 2009.

* An 81 percent in the CAP alumina refinery project under
development. It is to be located 3km away from the Alunorte
plant and is to have a total capacity of 7.5 million tonnes.

ALUMINUM

* A 51 percent in the Albras aluminum smelter, one of the
largest ones in the Americas. It can produce up to 460,000
tonnes of per year and in 2009 produced 450,000 tonnes.

Situated in Barcarena, also in Para state, it has a
workforce of 1,200.

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(Reporting by Gwladys Fouche; Editing by Bernard Orr)

FACTBOX-Norsk Hydro aluminum deal with Vale