DEPARTMENT OF ENERGY AWARDS $500M TO FIRST OF ITS KIND GREEN ALUMINUM SMELTER

CENTURY ALUMINUM'S NEW FACILITY DESIGNED TO BE 75% LESS POLLUTING, PROVIDE THOUSANDS OF JOBS

January 15, 2025

WASHINGTON, DC-Today, the Department of Energy awarded Century Aluminum up to $500 million to build a state-of-the-art aluminum smelter that will emit 75% less climate pollutionthan existing aluminum production facilities. This facility will be the first new aluminum smelter built in the United States in nearly half a century and marks a dramatic turning point for how we make this material that is essential for the clean energy economy.

"This project shows that with the right policies, America can become a leader in climate- and community-friendly manufacturing. We do not have to sacrifice clean air and clean water for good jobs," said Iliana Paul, Industrial Campaign deputy director of the Sierra Club. "We hope this new facility is not only a turning point for our declining primary aluminum industry, but also a signal to all manufacturers itching to innovate and be more environmentally friendly. "

Century's "Green Aluminum Smelter" was one of 33 projects selected by DOEas part of the Industrial Demonstrations Program. While the location of the project has not been announced, Century did indicate a preference for Kentucky early on.

"Primary aluminum is a key ingredient in the clean energy transition and being able to make more of it at home will be essential to meeting our climate targets," said CeCe Grant, director of the Industrial Transformation campaign. "But more importantly, with this project, Century will be showcasing for the world how primary aluminum can be made with dramatically fewer greenhouse gas and toxic air emissions, making this project a double win for the environment and communities."

Domestic production of new aluminum has decreased significantly in recent years, with three facilities being idled or fully curtailed since 2020. The new smelter from Century would double American aluminum production capacity and provide 1,000 permanent jobs and 5,000 construction jobs. As a condition of the grant, Century's new facility must also have a plan for running the facility on carbon-free electricity.

Century must also meaningfully engage with the local community to implement its community benefits planto receive the grant funded by the Inflation Reduction Act and Bipartisan Infrastructure Law. Community-guided implementation of this major clean manufacturing project, along with the other projects of the Industrial Demonstrations Program, are the backbone of an industrial transformation that revives local economies, delivers stable jobs with family-sustaining wages, and supports clean air and water.

"As the child of a steelworker, I understand how economically important manufacturing is for the surrounding communities, while also being the source of serious health-harming pollution. If Century's new facility is built in Kentucky, it will be a dramatic break from this status quo-Kentuckians will be able to have it all: good jobs, clean air and water, and prosperous communities," said Julia Finch, director of Sierra Club's Kentucky chapter. "We hope to have the opportunity to work with Century to get strong community benefits associated with this project and hope those wins spill over to Century's other Kentucky facility in Sebree."

About the Sierra Club

The Sierra Club is America's largest and most influential grassroots environmental organization, with millions of members and supporters. In addition to protecting every person's right to get outdoors and access the healing power of nature, the Sierra Club works to promote clean energy, safeguard the health of our communities, protect wildlife, and preserve our remaining wild places through grassroots activism, public education, lobbying, and legal action. For more information, visit www.sierraclub.org.

Industrial Transformation