Noranda seeks lower power rate in Mo.
Feb 13, 2014 | 09:39 AM
| Michael Cowden
CHICAGO Noranda Aluminum Holding Corp. is seeking a lower electricity rate in Missouri, without which it said it will need to cut 150 to 200 jobs or ultimately close its New Madrid smelter.
The Franklin, Tenn.-based aluminum producer has asked the Missouri Public Service Commission to approve a new rate of $30 per megawatt hour (MWh), roughly 27.7 percent less than the $41 to $42 per MWh the company now pays to St. Louis-based utility Ameren Corp., a Noranda spokesman told AMM.
"If we arent granted the requested reduction in an expedited manner, and if LME (London Metal Exchange) aluminum prices dont improve, we would have to look at more head count reduction at New Madrid," the spokesman said, estimating potential layoffs at between 150 and 200 employees. Thats the most Noranda thinks it could cut its work force at New Madrid without jeopardizing its ability to meet customers commitments, he added.....
To access AMM's full content, please log in below. If you do not have an AMM account, we invite you to take a free trial or subscribe below.
Already a registered amm.com user?
Access to amm.com editorial content is granted only to paid subscribers and trialists. If you do not have an active account in your own name, please either subscribe or take a trial and you will have instant access to amm.com content. Sharing your login credentials with individuals who are not subscribers represents a violation of AMM copyright.
Every morning, every minute no matter how often you follow the markets, there's an AMM subscription to fit your needs.
Not sure if you are ready to invest in a subscription right now? Take a free, no-obligation trial. Start your free trial today.