JOHANNESBURG (miningweekly.com) – This asset adds scale to our smelting portfolio in a way that is expected to be cash flow accretive immediately, Alcoa Corporation President and CEO William (Bill) F Oplinger said of South Africa’s Hillside Aluminium smelting business during a conference call following the NYSE-listed company’s announcement of agreement to buy the aluminium-linked assets of the Johannesburg Stock Exchange-listed South32.
“We think we’re acquiring fantastic long-term assets at a really reasonable price,” Oplinger said during question time in reply to Citi Investment Research analyst Alex Hacking.
In addition to Hillside and the idled Bayside smelter property in South Africa’s KwaZulu-Natal province, Alcoa will acquire South32’s interests in the Boddington bauxite mine and the Worsley alumina refinery in Western Australia; and the Mineração Rio do Norte bauxite mine and the Alumar alumina refinery and aluminium smelter in Brazil.
In 2025, Hillside generated about $2-billion of revenue and $200-million of earnings before taxes, depreciation and amortisation, and in the current pricing environment is delivering strong cash generation, Oplinger added during the call covered by Mining Weekly.
