) announced that it will expand a plant in Tennessee and boost
its capacity to produce aluminum sheet for the automotive
industry. Alcoa will spend $275 million on the facility over the
next three years to support automotive producers' plans to use
more aluminum sheet to increase fuel efficiency, safety,
durability and performance of cars and light trucks.
Alcoa believes that the expansion will add 200 full-time jobs and
400 temporary jobs, which will be created during the construction
phase of the expansion. The expansion is scheduled to start this
month with completion expected by mid-2015. The expansion will
convert some of the plant's can sheet capacity to high-strength
automotive aluminum sheet production.
After the completion of the expansion, the plant will be a key
supplier to both the packaging and automotive markets. The
project will incorporate Alcoa's proprietary 951 technology,
which is a breakthrough technology and is the new pre-treatment
bonding standard for aluminum sheet, extrusion and casting
suppliers across the automotive industry.
The 951 technology facilitates wide usage of aluminum throughout
the automotive industry and help in making mass-produced
aluminum-intensive vehicles possible, thus saving fuel. Recently,
Alcoa licensed the pre-treatment bonding technology to Chemetall,
a division of
Rockwood Holdings, Inc.
, in an exclusive global distribution pact.
Alcoa is the world leader with respect to production and
management of primary aluminum, fabricated aluminum, and alumina
as well as the world's largest miner of bauxite and refiner of
Alcoa currently retains a short-term Zacks Rank #3 (Hold).
Other companies in the mining industry with favorable Zacks
Atlatsa Resources Corporation
Anglo American Platinum Ltd.
). Both hold a Zacks Rank #2 (Buy).
ALCOA INC (AA): Free Stock Analysis Report
ANGLO AMER PLAT (AGPPY): Get Free Report
ATLATSA RESRCS (ATL): Free Stock Analysis
ROCKWOOD HLDGS (ROC): Free Stock Analysis
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