OREANDA-NEWS. December 2, 2011. UC RUSAL (SEHK: 486, Euronext: RUSAL/RUAL, MICEX: RUALR, RTS: RUALR), world’s largest aluminium producer, announces the completion of redesigning of the Volkhov aluminium smelter (”VAS”) and the increase of its production capacity as a result of redesign. Total investment to the project amounted to USD 3 million.

VAS completed the installation of new equipment in the cast house enabling the smelter to start a large-scale production of alloys and increase the casting capacity from 24,000 tpa to 32,000 tpa. The share of alloys in the smelter’s production will grow up to 96%. Automotive and aerospace industries will be main consumers of the alloys produced. The smelter will also produce grade A356.2 aluminium alloy used in cast automotive wheels production.

The upgraded cast house includes a 20-tonne holding furnace with a mixer to prepare alloys, a conveyor with an ingot stacker for standard ingot production, a filtration facility, a traveling degassing and fluxing facility and an automatic control system. The installation was carried out by German contractor Jasper GmbH and Russian “Centerenergotsvetmet” company.

The upgraded cast house will start production on 31 December 2011 just before the smelter’s anniversary. VAS, the oldest aluminium smelter in Russia, will mark 80 years of operations in 2012, making it an anniversary of the country’s national aluminium industry.

”Now we are carrying out a comprehensive redesign programme for production of value-added products within Aluminium Division West. The sales price of special alloys is on average USD 200 per tonne higher than the price of common A7 grade aluminium. I find it remarkable that VAS, the pioneer of Russian aluminium industry, is the first RUSAL smelter to completely switch to alloys-only production. We are very pleased that VAS has got new development perspectives just before its 80-year anniversary. RUSAL is currently negotiating with several major companies to start auto components production in Volkhov to consume VAS-produced alloys,” commented UC RUSAL’s Aluminium Division West Director Alexey Arnautov.