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ATALCO reaches $800m in funding for alumina refinery

1 d ago

**ATALCO Secures $800M in Public-Private Funding for US Alumina and Gallium Production, Bolstering Critical Mineral Supply Chain** Atlantic Alumina Company LLC (ATALCO), the only operating alumina refinery in the United States, has raised $800 million in total capital for its Gramercy, Louisiana facility, split evenly between $400 million from the US Department of War (DoW) and $400 million from private investors via Pinnacle Asset Management L.P., to revitalize domestic production of smelter-grade alumina and establish the nation’s first primary gallium output—a critical mineral used in semiconductor ceramics, defense, and aerospace. The new funding includes $350 million in preferred equity, building on a $450 million partnership announced in January. ATALCO’s Gramercy refinery, commissioned in 1959, is the sole US producer of smelter-grade alumina essential for aluminum in aerospace, defense, and automotive sectors, plus chemical-grade alumina for catalysts, refractories, fire suppressants, ceramic semiconductor casings, and water treatment. The firm has constructed a pilot primary gallium production facility at the site, now undergoing testing, with expectations to deliver the USA’s first domestic primary gallium this fall. ATALCO aims to produce up to 50 metric tons of gallium per year, recovered simultaneously with alumina during refining. The public-private partnership funds operational revitalization, securing industrial supply chains and supporting over 500 jobs. Louisiana Governor Jeff Landry recently issued an executive order prioritizing alumina and gallium as US-designated critical minerals. ATALCO will also begin R&D on processing other critical minerals from bauxite residue. “With $800m of combined public and private capital, we are on a clear path to supplying America’s aluminium smelters and defense systems,” ATALCO stated. Pinnacle Asset Management’s chief investment officer Jason Kellman highlighted the impact on US critical mineral independence, while managing partner Scott Kellman noted the investment’s significance for defense, aerospace, and energy industries historically dominated by China.