Quebec government grants extension to Rio Tinto

An agreement signed between Rio Tinto Alcan and the Quebec government now allows Rio Tinto to extend the remaining aluminium operations the company has in Arvida in Saguenay until the end of 2020 that will save 1,000 jobs.

Through the agreement, Rio Tinto Alcan will be entitled to low preferential electricity price on the condition that they sell the excess energy to Hydro-Quebec at the same discounted rate.

The annual output is going to be stepped up from 35,000 tonnes to 150,000 tonnes, the company agreed.

The smelter was commissioned on 1941 and the outdated Soderbeg technology used here is being phased out of all Quebec smelters to comply with the strict environmental regulations which has to be done by Dec. 31.

A nearby Rio Tinto facility in Arvida, the AP60 research and development center, on the other hand uses new technology for a more efficient metal production.

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