ASHLAND, Ky. (WSAZ) - On Sunday, Braidy Industries, Inc., and London Stock Exchange listed En+ Group plc, announced a letter of intent for a potential $200 million investment for its Braidy Atlas mill by United Company RUSAL.
The Russian company Rusal is the world's largest producer of aluminum outside of China.
With this partnership, the company will create 1,500 construction jobs, 650 new permanent advanced manufacturing jobs in Appalachia and about 3,600 jobs in the surrounding communities. The mill is expected to be constructed in East Park near Ashland.
According to a news release, citing a recent economic impact study, Braidy Atlas will contribute $2.8 billion to the Commonwealth of Kentucky and $1.54 billion to Eastern Kentucky by the year 2021.
In exchange for its investment, Rusal will hold a 40 percent share in the project. The company will serve as Braidy's exclusive supplier of low-carbon aluminum.
According to a news release, the partnership aims to create the first low-carbon impact industrial aluminum rolling mill operation in the world. It will also enable Braidy to become the first company to use 100 percent low-carbon inputs on a permanent ongoing basis.
“In 2021, Braidy Atlas will make the largest order for primary aluminum rolling slab worldwide," Chairman and CEO Craig Bouchard said. "This partnership assures that Braidy's requirements will be met with the newest high-quality and low-carbon capacity. The bottom line is that without Rusal we could not build an environmentally-conscious mill of this scale."
Braidy Atlas is the first new U.S. greenfield rolling plant in 37 years.
"We have a perfect strategic partnership, creating, in essence, the lowest cost aluminum, the highest quality aluminum with the lowest carbon imprint in our entire industry. I couldn't be more proud of our team and it's a fantastic day for us," said Bouchard.
The letter of intent becomes official once it is approved by the respective boards of both companies.