Rio Tinto explores low-carbon aluminum project with Indian company

Rio Tinto announced on Thursday that it had signed a Memorandum of Understanding (MOU) in India with AMG Metals & Materials. The MOU is to evaluate the viability and feasibility of a low carbon aluminium project for the South Asian nation.

The global miner stated that the potential development could lead to up to 2 million tonnes of alumina and 1 million tonnes of primary aluminium production per year, powered by wind and solar energy, and supported by pumped-hydro storage.

It added that the initial phase of the plan would include studying the feasibility of a primary aluminium smelter capable of producing 500,000 tonnes of aluminum per year at a "favourable location" in India.

Rio Tinto has not disclosed financial details about the deal.

AMG Metals & Materials was founded by Anil Chalamalasetty, and Mahesh Kolli. They are the founders of Greenko Group - an India-based company that specializes in clean energy.

Rio Tinto said that as the global demand for sustainable materials increases, AMG M&M and Greenko will investigate a firm renewable energy solution. Rio Tinto, on the other hand, will examine an alumina commercial solution.

Mahesh Kolli, the group president of AMG M&M & Greenko, said: "This MOU can deliver much-needed low-carbon metals at scale, to drive decarbonisation initiatives in global supply chain across auto, construction and consumer packaging, among many other segments." (Reporting and editing by Varun H K in Bengaluru, Adwitiya Shrivastava from Bengaluru)

(source: Reuters)