OSLO (dpa-AFX) - Norwegian aluminium and renewable energy company Norsk Hydro ASA (NHY, NHYDY.PK, NHYDY.PK) said that it will present its strategic direction toward 2025, at the Capital Markets Day. It has provided an update on the key profitability and sustainability targets announced in 2019.
Hydro said its improvement program remains on track to deliver its 2020 target of 4.1 billion Norwegian Kroner, with all business areas over delivering on their cost ambitions for the year.
Hydro reduced CAPEX in 2020, in response to Covid-19 to 7 billion Kroner, managing to reduce 2.5 billion Kroner in expected spend.
Expected CAPEX for 2021-2025 is 9 billion Kroner - 9.5 billion Kroner, which is 0.5 billion Kroner lower than the long-term estimate provided one year ago, despite large reductions in 2020.
In addition, Hydro has a long-term sustaining CAPEX ambition of 6 billion Kroner- 6.5 billion Kroner annually.
Hydro's Alunorte alumina refinery in Brazil is on track to deliver alumina volumes at around 90 percent of nameplate capacity in the fourth-quarter of 2020.
Hydro noted that its overall climate ambition to reduce CO2 emissions by 30 percent by 2030 remains on track. Hydro is committed to replace fuel oil with natural gas as energy source for the Alunorte refinery, which will contribute significantly to the climate reduction target. The next step will be to electrify coal boilers at Alunorte.
Copyright RTT News/dpa-AFX