Novelis' aluminum plant in the Brazilian state of Sao Paulo currently recycling 93% of its operations residues, company says; can recycling volume up 42.5% year-over-year to 57 billion units in 2012; recycled aluminum makes up 39% of Novelis' raw material

SANTIAGO, Chile , December 20, 2012 () – US-based aluminum rolled products maker Novelis' (NYSE: NVL) Pindamonhangaba plant in São Paulo state is currently recycling 93% of its operations residues, the company said in its 2012 sustainability report.

Among Novelis highlights is the 42.5% growth over the volume of cans recycled in 2011, representing 57bn units recycled this year.

Currently, recycled aluminum corresponds to 39% of the raw material used by Novelis worldwide, a 6% increase when compared to the 33% recorded in the previous year.

According to the report, the use of recycled aluminum in the production of primary aluminum requires 95% less energy and results in a 95% reduction of greenhouse gases emission.


Global demand for rolled aluminum is expected to grow 34% in the 2011-16 period, reflecting the growth in some of the market's key sectors, such as the auto industry. Currently, the use of aluminum in cars corresponds to a 2-3% share of the world market. Aluminum demand amongst automakers is expected to increase 25% by 2016.

To reach its goals, Novelis has earmarked US$1.4bn in operational expansion and increased recycling capacity, the report said.

The Pindamonhangaba plant is an integrated aluminum rolling and recycling complex. Novelis is currently investing US$300mn to expand the plant's rolling capacity by more than 50% to over 600,000t/y. When it comes on line, scheduled for late 2012, it will be the largest aluminum rolling mill in South America.

The company also has a primary aluminum plant in Ouro Preto in Minas Gerais state, which has capacity of 50,000t/y, and the Santo André unit in São Paulo, which produces 16,000t/y of laminated aluminum.

Novelis is a subsidiary of Indian aluminum-copper producer Hindalco Industries.
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