Atlantic Alumina (ATALCO) has entered into a $450 million deal with the United States government.
The partnership is intended to secure US alumina production and build America’s first large scale primary gallium production circuit in Gramercy, Louisiana.
ATALCO is the only operating alumina refinery in the United States.
Alongside working with government, the project is also in collaboration with Concord and its majority shareholder, Pinnacle, a leading commodities investment firm.
Since 1959, alumina produced by ATALCO has been used for American aerospace, defence, and automotive supply chains, while the company’s chemical grade alumina has supplied important industries like oil and gas refineries, refractories, fire suppressants, ceramic casing for semiconductors, and municipal water treatment.
Both alumina and gallium are essential minerals for production of aerospace and defence systems, catalysts, semiconductors, and next-generation energy technology.
This initiative is expected to produce over one million metric tons of alumina per year and up to 50 metric tons of gallium per year with its uniquely skilled workforce.
ATALCO said: “Aligning this essential public sector support with private sector investment will secure onshore supply of alumina and gallium, which are contested commodity market segments currently dominated by China.
“This deal shows how quickly and decisively America can act to ensure long-term national security and economic resilience.”
The Gramercy site will create more than 500 jobs in Louisiana as ATALCO revitalises this existing facility and installs a new gallium production circuit.
The partnership marks a milestone in expanding domestic production and reducing reliance on foreign imports for critical minerals.
“For the past decade, our investment philosophy has centred on bolstering the US supply chain for critical minerals and other commodities,” said Jason Kellman, Chief Investment Officer, Pinnacle Asset Management.
“This strategic partnership plays an important role in strengthening our country’s critical minerals supply.”
Scott Kellman, Managing Partner, Pinnacle Asset Management, added: “In addition to the core expansion of the ATALCO facility, this investment unlocks significant growth potential, including increasing the site’s mineral processing and power generation capabilities, all of which contributes to the long-term security of America’s materials supply chain.”
