Norwegian aluminum and renewable energy company Norsk Hydro made a binding offer to acquire Rio Tinto's 100 percent share of an aluminum plant in Iceland, the company said on Monday.
Norsk Hydro said that its offer for the ISAN plant in Iceland, which is based on renewable power, is $345 million, subject to post-closing adjustments.
The deal will raise the company's capacity to produce aluminum by 210,000 tonnes to 2.4 million tonnes in 2018 and its share of production that is based on renewable energy to over 70 percent.
'The offer demonstrates our strong belief in aluminum, which is seeing the strongest global demand growth among base metals. Having presence across the value chain is essential to create value from this growth and promote sustainable practices in our global operations,' said Norsk Hydro's President and CEO Svein Richard Brandtzaeg.
By Murat Temizer
Anadolu Agency
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