In an agreement with IES Holding, Rusal has also secured the rights on the 230MW Novobogoslovsk Power Plant capacity allocation contracts project.

The agreement follows talks between the Sverdlovsk Regional Government, IES Holding, Federal Grid Company, IDGC Holding, Ministry of Industry and Trade and Ministry of Energy, which were aimed at the sustainable development of Urals, Russia aluminium production.

Rusal will focus on bringing the smelter to a break-even level within five years, will upgrade the Bogoslovsk aluminium smelter’s production facilities, providing production rates no lower than in 2011 levels while increasing the smelter’s energy efficiency, bringing it in-line with modern technology.

Rusal said it remained confident there will be no staff cuts or smelter closure.