Hydro Aluminium AS
Oslo, Oslo, Norway
Hydro is an integrated aluminium company with a global presence. We bring innovation, quality and smart business solutions to our key markets for casthouse products, building systems, extrusions, rolled products, and automotive and transport.
Energy represents about one-third of the cost of aluminum production. Unlike aluminium, which is traded on a global market with the same prising, energy markets are regional, with different pricing at different locations. Long-term supplies of reasonably priced power will therefore be important regarding where new aluminium production is established.
Electricity prices are affected by a number of factors, such as rainfall, temperature and developments in the price of carbon dioxide, gas and oil. In Hydro’s time as an oil and energy company, it has developed competence in all aspects of the energy markets. This competence is very important for the aluminium industry and will remain a core asset in Hydro.
Hydro has more than 100 years of experience in hydropower, and today is the second-largest hydropower producer in Norway. Our power production is primarily used to supply the company’s aluminium operations with electricity. Even though Hydro comsumes more electricity than it produces, the company enjoys a good balance with long-term contracts in addition to its own production.