Hydro’s Alunorte Alumina Refinery in Brazil Cuts Production by 50%
According to reports on October 5, Hydro’s Alunorte alumina refinery in Brazil has reduced alumina production to 50% following an interruption in natural gas supplies. This disruption could cost Hydro’s Bauxite & Alumina business up to $100 million in the third quarter of 2026. Alunorte may also face an additional financial impact of $110 million in the fourth quarter due to rising natural gas costs, bringing the total potential impact to approximately $210 million. Alunorte plans to resume full production once the natural gas supply situation improves. Hydro does not anticipate further supply interruptions. The final financial impact will depend on natural gas prices and the outcome of contract discussions. Alunorte is taking legal and other measures to protect its rights under existing natural gas supply agreements. The production cut stems from a supply interruption notice issued by gas supplier CELBA in August 2026; Alunorte has not received the contracted gas volumes and is currently purchasing gas at spot market prices. The refinery has requested direct access to the Barcarena LNG receiving and regasification terminal.
