This morning in metals news: Norsk Hydro today announced it signed a letter of intent to build a new aluminum recycling plant in Cassopolis, Michigan; the Census Bureau released construction spending data; and, lastly, the zinc price posted some gains this week.
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Norsk Hydro to build aluminum recycling plant in Michigan
Oslo-based Norsk Hydro has signed a letter of intent to build an aluminum recycling plant in Michigan.
The plant will produce aluminum extrusion ingot for automotive applications. Norsk Hydro said it aims to build the plant by 2025.
“The LoI between Hydro Aluminium Metal and landowner Midwest Energy and Communications (MEC) is based on Hydro’s intention to build a facility in Cassopolis producing 120,000 metric tonnes per year from 2023 with around 70 direct employees,” Norsk Hydro said. “The total project investment is currently estimated to be around $120 million, depending on final facility design, market conditions and macroeconomic development.”
May construction spending drops from previous month
U.S. construction spending reached a seasonally adjusted annual rate of $1,545.3 billion in May, the Census Bureau reported.
The May rate marked a decline of 0.3% from the previous month.
Meanwhile, during the first five months of this year, construction spending totaled $594.8 billion, or up 4.6% year over year.
Zinc price gains
The LME three-month zinc price closed Wednesday at $2,948 per metric ton. The price is down 3.44% month over month. (Earlier this week, Stuart Burns outlined movements in the zinc market.)
However, the price did bounce back slightly since the beginning of the week. The three-month price had closed Monday at $2,896.50 per metric ton.
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