Mozal Aluminium

Mozal Aluminium has been placed on care and maintenance effective 15 March 2026 due to the inability to secure sufficient and competitively priced electricity.

Aluminium manufacturing requires considerable electricity (in operation, Mozal consumes a constant 950 megawatts of power), accounting for a significant proportion of production costs. Aluminium smelters globally are dependent on low-cost power to remain viable, and this is true of Mozal.  

There were extensive engagements with relevant parties to secure the electricity needed for Mozal to sustain operations beyond March 2026.  

Throughout the negotiations we stressed Mozal’s ability to operate is dependent on its ability to secure sufficient and competitively priced electricity supply.

The recent drought in the Zambesi Basin has materially impacted on the amount of electricity available from Mozambique’s hydro-electric power generator, Hidroeléctrica de Cahora Bassa (HCB), from which Mozal has previously sought most of its electricity. This meant electricity from Eskom was crucial to any new deal.  

Unfortunately, an agreement on an electricity price which would allow the smelter to remain internationally competitive was not able to be reached.

We have done everything we can do avoid this outcome and acknowledge the impact it will have on Mozal’s people, suppliers, communities and other stakeholders.  

Care and maintenance means the smelter has been shut down and is no longer producing aluminium.

Only a small team remains on site, primarily to maintain the plant, provide security, and maintain compliance to environmental obligations.

Suppliers will be affected as demand for most goods and services will no longer be required.  

We are engaging directly with impacted suppliers to help guide them through this process. We will keep suppliers updated during this process. They can also submit any questions via [email protected].

Where we have contractually committed to social investment projects or programs, our objective is to complete these in line with our commitments for the benefit of communities.

Over the last 25 years, Mozal has contributed significantly to our host communities through infrastructure development, education and health support programs and skills development. 

Approximately US$26 million has been invested in social projects in the last nine years.

We have developed and will continue to refine our handover strategies to support the sustainability of the projects and programs we have implemented over the years, and we are working closely with various partners to make this as smooth as possible.