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Aluminium · Gas Supply · Norsk Hydro · QatarEnergy
QatarEnergy initiated a halt in the production of liquefied natural gas (LNG) and associated downstream products, including aluminium, on March 2-3.
This action directly impacts Qatalum, a 50/50 joint venture between Norsk Hydro and Qatar Aluminum Manufacturing Company (QAMCO), which relies on QatarEnergy for its gas supply. Norsk Hydro is currently seeking clarification on the specific implications for Qatalum's aluminium production, which remain uncertain. Qatalum is a substantial operation, boasting a nameplate capacity of 648,000 metric tonnes of primary aluminium and 687,000 metric tonnes of casthouse capacity.
The facility is fully integrated, featuring its own smelter, casthouse, carbon plant, and a dedicated gas-fired power plant. Financially, Qatalum contributed an adjusted net income of NOK 1.3 billion to Hydro on a 50 percent basis in 2025.
The ongoing uncertainty regarding gas supply and potential production disruptions poses a material risk to Norsk Hydro's aluminium output and profitability, necessitating close investor attention.
