Alcoa Alumina acquisition approved alongside strong Q2 results

Alcoa stockholders have approved the Alumina (ASX: AWC) acquisition, as the mining giant today posts strong second quarter results.

Alcoa expects the acquisition to be completed by August 1, 2024, subject to approval by the shareholders of Alumina.

Alcoa president and chief executive William F. Oplinger says this is an important milestone for the company.

“The strong support from our stockholders reflects their recognition of this strategic step to enhance Alcoa’s global position as a leading pure-play, upstream aluminium company,” he said.

This closes a productive Q2 for Alcoa, that saw a 12% revenue increase from Q1 driven by higher alumina and aluminium prices.

“It was another fast-paced quarter at Alcoa as we approach the closing of the acquisition of Alumina and continue to execute initiatives to further enhance our operations,” said Mr Oplinger.

“Our continuous improvement focus remains high and, along with positive markets, led to stronger results for the second quarter.”

Alcoa produced 543,000t of aluminium, demonstrating a seventh consecutive quarter of increased production. The company expects 2024 total aluminium production to be between 2.2 and 2.3mt.

Alumina production decreased 5% from Q1 to 2.53mt primarily due to the full curtailment of the Kwinana refinery in June. Alcoa expects 2024 total alumina production to remain unchanged from its prior projection, ranging between 9.8 and 10mt.