Novelis to invest $50 million for new coating line in Brazil
Novelis, a leading producer of rolled aluminium, has announced that it will invest approximately $50 million to install a coating line for beverage can end stock at its operations in Pindamonhangaba, Brazil.
Novelis, the leading supplier of can body stock and can end stock in South America, forecasts the demand for aluminium beverage cans in the region to grow by seven per cent per year until 2020.
“This expansion is the most recent step in an ongoing program to expand our leadership position in supplying Brazil and South America with high-quality beverage can sheet for this growing region,” says Phil Martens, president and chief executive officer for Novelis.
Marco Palmieri, senior vice president of Novelis and president, Novelis South America, added: “This investment will help round out our can sheet offering for our customers in the region and allow us to keep pace with the surging demand for our products. The new line will allow us to increase our capacity to meet customer demand while shortening delivery lead times.”
The new coating line, which will be fully integrated with in-line levelling and trimming using the latest technology, is expected to come on stream in late 2013. The line will have the capacity to process 100,000 metric tons of aluminium sheet per year.
The Pindamonhangaba facility is an integrated aluminium rolling and recycling complex located in the state of Sao Paulo. The plant is currently in the midst of a $300 million expansion of its rolling mill and a $32 million expansion of its aluminium recycling capacity.