Novelis to build aluminum recycling plant in Kentucky by 2024

Novelis plans to construct an aluminum recycling plant in Kentucky that will be commissioned in 2024 and produce 240,000 mt/year of sheet ingot for North American automotive industry customers, the company said Jan. 11.

"The center will enable Novelis to grow its closed-loop-recycling programs with more automotive customers in North America," the company said in a statement. "Through closed-loop recycling, the company takes back the aluminum remaining after automotive parts are stamped from sheets and remakes it into the same product for new vehicle production."

The new plant will also be able to process aluminum parts obtained from end-of-life vehicles.

The aluminum producer and recycler said the $365 million facility will be located adjacent to its recently commissioned automotive finishing plant in Guthrie, Kentucky, and will allow it to utilize more secondary aluminum produced from recycled scrap instead of primary aluminum.

"Novelis aims to be the world's leading provider of low-carbon, sustainable aluminum solutions that advance our business, industry and society toward the benefits of a circular economy," CEO Steve Fisher said. "Through this investment, we will continue to increase the amount of recycled content in our products, reducing our CO2 emissions and moving us closer to carbon neutrality."

The recycling center will be equipped with advanced shredding and sorting technology, along with energy-efficient innovations that support Novelis' goal of reducing energy intensity by 10% by 2026, the Atlanta-based company added.

"We are excited about this new investment in Kentucky, which will help Novelis achieve its sustainability goals, as well as support the carbon-reduction targets of our automotive customers," Executive Vice President Tom Boney said.