Rio Tinto (ASX: RIO) announced Thursday it is investing C$1.7 billion ($1.2 billion) to modernize its Isle-Maligne hydroelectric power plant in Alma, Quebec, first commissioned in 1926.
This is Rio Tinto’s largest single investment in its hydroelectric assets since the 1950s, the miner said.
The power plant modernization is essential to secure the future of low-carbon aluminum production in Saguenay–Lac-Saint-Jean, supporting jobs across the region, Rio said, adding that the refurbishment will also protect its assets for the long term, ensure a more efficient, safe and reliable power supply of renewable energy to smelters, casting houses and other facilities.
The project will run until 2032, with an estimated over 300 people working on the site at its peak. It includes replacing eight turbine-alternator groups, rehabilitating their water intake and hydraulic passage, building an extension and mechanical workshop to the north of the power station, replacing electrical and mechanical equipment, and modifying a spillway so that it can be used reliably in winter.
“The Isle-Maligne hydroelectric power plant has been a strategic asset for Rio Tinto for 100 years, drawing on the expertise and dedication of multiple generations of employees and business partners,” Rio Tinto Aluminium’s managing director for Atlantic operations, Sébastien Ross, said in a news release.
“The Isle-Maligne hydroelectric power plant has been a strategic asset for Rio Tinto for 100 years, drawing on the expertise and dedication of multiple generations of employees and business partners,” Ross continued.
“This major investment to modernize our facilities will ensure the long-term future and competitivity of our low-carbon aluminum production in Quebec for decades to come for our Canadian and American customers.’’
This investment is in addition to previously announced projects worth a combined C$252 million ($183 million) for the refurbishment of butterfly valves and work on two other turbine-alternator groups at the Isle-Maligne power plant.
