Aluminium. about Hydro and technology. We always seek new ideas

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1 Aluminium about Hydro and technology We always seek new ideas

2 Our solutions SuperLight Car, Bonn, Germany Two-thirds of car body in aluminium; Reduces vehicle s weight by 35 percent; Affordable cost for serial production. HAL4e Årdal, Norway Lower electricity consumption; Reduced greenhouse gas emissions; Increased production capabilities. Recycling research projects Germany, Norway and France Scrap availability and blending tools; Furnace optimization by CFD modeling; Closed-loop recycling concepts. Life-long aluminium solutions for the next generation.

3 Aluminium HOW? Hydro has started yesterday developing the technology our industry will be using years down the road. Our main tasks in research and development are connected to smelter technology and product development where use of aluminium can improve the ecological performance. This work is conducted in close cooperation with our customers and external organisations. How we improve our own processes Hydro s electrolysis process is already one of the most efficient in the world. Electrolysis is the process for converting alumina to molten aluminium. Yet, we are ready with a new generation technology: HAL4e. In 2010, HAL4e achieved an electricity consumption of 12.5 kwh per kilogram aluminium, compared to an average of 13.8 kwh. HAL 4e has been tested full-scale at our technology centre in Årdal (Norway) for several years, in cooperation with our other research centres in Norway and Germany, and is now ready for use the next time we build an aluminium plant. We have also initiated a program to widely pilot innovative technology solutions, which when implemented, will have the potential to reduce the energy consumption for all our primary metal plants. We have invested into research and development in the recycling sector. Hydro aims to increase recycling volume to one million tonnes in To achieve this goal, we work on projects related to closed-loop recycling of products (process chain approach from scrap processing to final metallurgical properties), recyclingfriendly alloys, modelling of future scrap availability (scrap quality and application oriented studies based on models from the International Aluminium Institute), scrap blending tools (development of chance-constrained optimization algorithm in co-operation with the MIT) and upgraded furnace technologies (modeling of furnace combustion and heat transfer, metal flow and electromagnetic stirring). The scope of all our recycling-related projects also includes reduction of total waste and waste sent to landfill in line with our overall environmental strategy. How we support our customers Cooperation across the value chain is essential for innovation. In Toulouse (France) and Bellenberg (Germany), we are testing systems that can help buildings produce as much energy as they use. Thanks to its excellent formability properties, aluminium acts as an integrator, enabling cost-worthy production of complex shapes where energy-efficient technologies such as heat pumps and photovoltaic systems can be easily integrated. Further, we work closely with architects to ensure that these solutions are aesthetically rewarding. The first such buildings have already been built. In transport, Hydro is participating in several research projects with other companies to further reduce the weight of vehicles, and thus the fuel consumption and associated CO 2 emissions. The SuperLIGHT-Car 1) project demonstrated how to combine different materials in a car body to reduce weight by 35 percent while remaining economically advantageous and maintaining safety performance. Through the LIGHT ebody project in Germany, Hydro is also taking part in the deployment of electric vehicles by working on construction concepts, body parts and battery housing. The company has also developed a specific aluminium foil from a high-purity material and with a special surface treatment for the cathode in Lithium-Ion batteries. The SIMLab-project is another example where Hydro is working together with companies such as Audi, BMW, Renault and Toyota focusing on the development of modelling and simulation packages for predictions of crash performance. 1)

4 Great ideas are also flourishing in the area of renewables. Hydro has developed several new solar and wind applications that help lowering the cost of renewable energy production, and thus contribute to its large-scale deployment. The company is also active in less mainstream technologies, such as geothermal energy. Our competence Most of our efforts are conducted in-house through our technology centres located across Europe (Norway, Germany, Denmark, France, etc.). An annual internal competition the Hydro Recognition Program aims to energize all employees by recognizing outstanding efforts and best practices sharing regarding innovation. The winning idea is selected for its contribution to change, value creation and business potential. Our partners To be at the cutting edge of technology, Hydro s research centres are part of an extensive, international network including prestigious universities and research institutes, such as the technical University of Aachen (RWTH), the Norwegian University of Science and Technology (NTNU), SINTEF, the Qatar University, the Indian Institute of Science, the Massachusetts Institute of Technology (MIT) and the University of Auckland.

5 Aluminium WHAT? Hydro is a major global supplier of high-quality aluminium for applications in various market segments, such as building, transport, packaging, renewable energy and engineering. Based in Norway, our company has a strong presence in Europe and operations worldwide covering every step of the production chain, from the extraction of raw materials to semi-finished products as well as recycling. Effi cient processes Recycling Future of customers Raw materials Processing Innovative solutions Knowledge Forming Bauxite Bauxite is, together with energy, the main raw material for aluminium. This reddish coloured mineral is mostly found in Australia, China, Africa and South America. Bauxite is refined into alumina a white powder which looks a bit like table salt. In Brazil, Hydro operates one of the world s largest bauxite mines in Paragominas and the world s largest alumina refinery, Alunorte. Four kilos of bauxite give two kilos of alumina which are then necessary to produce one kilo of aluminium. Processing The performance of our aluminium solutions is linked to the high quality of the metal they are made from. Our advanced technological expertise allows the production of unwrought aluminium in a wide range of shapes and alloys to fit any use. Aluminium is produced by electrolysis at high amperage. Hydro has reduced its direct emis sions of greenhouse gases per tonne of primary aluminium produced by almost 70 percent since Extrusion, rolling and cast products Our product solutions are based on aluminium extrusions, rolled and cast products. Both the extrusion and rolling processes turn metal ingots into various shapes. There is virtually no end to what shape aluminium products can take to meet customer needs. Different types of alloys, processing and surface treatment can further improve the metal s properties. With 19 extrusion plants and six rolling mills, Hydro is ideally placed to supply the European market. Recycling Recyclability is one of aluminium s greatest benefits. Aluminium can be recycled over and over again without loosing its initial properties. Moreover, remelting used metal requires up to 95 percent less energy than for the primary production. Our ambition is to grow faster than the market in recycling and to take a strong position in this part of the value chain. By 2020, we aim to recover 1 million metric tons (mt) of contaminated and post-consumer scrap annually.

6 Hydro is a global supplier of aluminium with activities throughout the value chain, from bauxite extraction to the production of rolled and extruded aluminium products and building systems. Based in Norway, the company employs 22,000 people in more than 40 countries. Rooted in a century of experience in renewable energy production, technology development and progressive partnerships, Hydro is committed to strengthening the viability of the customers and communities we serve. Hydro Drammensveien 260 NO-0240 Oslo Norway For further information please contact: Hydro EU Affairs Office 17 rue Archimède B-1000 Brussels Tel Production: Artbox Photos: Hydro Printed with vegetable ink on recycled paper. Hydro 2013