Planning the $1.5 billion smelter

has signed an Agreement in Principle with the government of the Republic of Trinidad and Tobago to build a world-class 341,000 metric-tons-per-year aluminium smelter (mtpy) in the Cap-de-Ville area in southwestern Trinidad.

This agreement follows the signing of a Memorandum of Understanding in May 2004 for participation by Alcoa in the development of an aluminium industry in Trinidad and Tobago.

Under the terms of the agreement, Alcoa will begin an environmental impact assessment (EIA) for the location in Cap-de-Ville. The company will also complete feasibility studies to determine the full scope and cost of the proposed project.

It is anticipated that Alcoa would build a 341,000 mtpy aluminium smelter, an associated anode plant, and cast house. Project plans call for the production of 240,000 mtpy of billet and forging stock, and also include possible downstream facilities. The facilities would be powered by a self-contained power plant fuelled by natural gas. The new smelter and related facilities are projected to cost approximately $1.5 billion.

Alcoa will hold 100% interest in the smelter with the government of the Republic of Trinidad and Tobago an active partner in the provision or facilitation of requisite infrastructure.

It is expected that upon completion, the smelter and associated facilities would permanently employ approximately 750 to 800 people directly and indirectly through associated jobs in the region.