Glencore is investing $775mn in two aluminium projects with Norsk Hydro, in a deal that will cement its position in the bauxite and aluminium markets.
The tie-up will give the Swiss miner and trader a 30 per cent stake in the Alunorte alumina refinery in Brazil, along with offtake rights from the project.
Glencore will also acquire a 45 per cent non-operating stake in Mineracão Rio do Norte, the largest Bauxite mine in Brazil, which includes rights to market part of the ore.
Glencore will become the largest shareholder in MRN, which is independently operated.
Norsk Hydro said on Thursday the net enterprise value of the transactions was $1.11bn, which includes net debt that the Norwegian company put at $335mn at Alunorte.
