Moscow, 24 October 2023 – RUSAL announces signing agreements in relation to the acquisition of 30% equity interest in the Chinese company HEBEI WENFENG NEW MATERIALS, which owns and operates an alumina refinery located in the province of Hebei, Caofeidian district.

The transaction amounted to 1.911 billion yuan (equivalent to approximately 266,899,441 US dollars as of the exchange rate of 7.16 US dollars/yuan), which may be adjusted depending on the HWNM’s working capital and debt as of closing and any outstanding or unsettled indemnification claim in accordance with the terms and conditions of the agreement as of closing but is expected not to exceed CNY 2.5 billion (equivalent to approximately USD 349,162,012 at the exchange rate of 7.16 USD/CNY).

HEBEI WENFENG NEW MATERIALS CO., LTD owns and operates the newest and high innovation alumina refinery in China that has been launched in March 2022. This alumina refinery located in the Hebei Province, Caofeidian District, has a nameplate annual capacity of 4.8 million tons of metallurgical grade calcined alumina. The refinery has a high production capacity, modern technology for processing raw materials, advanced consumption indicators and a high degree of automation.

In accordance with the agreement RUSAL and HEBEI WENFENG NEW MATERIALS will divide the alumina produced in proportion to their respective equity interests. RUSAL will be able to gain access to alumina at a competitive cost and secure its key raw material supply.

This partnership gives RUSAL an opportunity to gain a sustainable access to alumina to provide its production facilities with enough amount of the raw materials.