China Hongqiao Group Limited has initiated the first phase of production at a greener aluminium plant in the southwestern province of Yunnan, cutting its reliance on coal-fired power. The news came after a Hongqiao affiliate said this on Thursday, September 17.
Hongqiao has been smelting aluminium in the city of Binzhou in Shandong using coal-fired power, but now the move to Yunnan will allow the company to swap coal for cleaner hydropower.
The greener aluminium plant is located at Wenshan prefecture, having an annual capacity of 2.03 million tonnes. Hongqiao aims to move about one-third of its aluminium capacity out of Shandong province to the hydropower-rich Yunnan province.
The construction of this plant, led by Shandong Weiqiao Pioneering Group, was started in December last year with a total investment of RMB 40 billion.
The first phase of the project has a production capacity of 1 million tonnes per year, according to Hongqiao. The company also said that currently, it has no specific timeline for the launch of phase two, but it should be completed by 2025.
Ge Honglin, head of the China Nonferrous Metals Industry Association, said the project would help enhance China’s clean production level in the aluminium industry as it strives to make “world-class” high-end aluminium products.
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