Rio Tinto, the parent company of the Alcan aluminium smelter in Hafnarfjörður, is currently reviewing its operations of the plant, RÚV reports, according to an announcement from the company. As the plant employs some 500 people, the mayor of Hafnarfjörður tells reporters that she takes the matter very seriously.
Rio Tinto has apparently been contending with operational losses for entirely too long now, and as such are looking to make cuts where they deem necessary. The Straumsvík plant is one of the possible locations on the chopping block.
The plant has been a tremendous consumer of electricity and one of the country’s top polluters. It has been the plummeting price of aluminium and the local cost of electricity that have been making the most significant dents in remaining profitable.
Rósa Guðbjartsdóttir, the mayor of Hafnarfjörður, told Vísir that she is taking the situation very seriously.
“This is one of the largest employers in town, has been in operation for decades, and holds a lot of meaning for the entire town,” she said.
Employees of the plant were invited to a meeting this morning and informed of the situation. A more definitive decision on the matter will be taken at the end of the first half of this year.
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