RUSAL, a leading global aluminum producer, and PJSC RusHydro, one of Russia’s largest generating companies, have commissioned the first potline at the Boguchansky aluminum smelter (BoAZ), part of the Boguchany Energy and Metals Complex (BEMO). The joint agreement, which includes the BEMO project consisting of the Boguchansky aluminum smelter and Boguchanskaya HPP, was signed by RUSAL and RusHydro 13 years ago at the Krasnoyarsk Economic Forum.

Dmitry Kozak, deputy chairman of the Russian government, and Gov. of the Krasnoyarsk territory Alexander Uss, along with Evgenii Nikitin, current CEO of RUSAL, and Nikolay Shulginov, chairman of the management board and general director of PJSC, took part in a ceremony held during the Krasnoyarsk Economic Forum.

The BEMO project was completed at a record pace, the companies said. In 2012, the first hydroelectric units went into operation and in 2015, the station reached the design capacity of 2,997 megawatts (MW), the design capacity of the first potline of BoAZ was 298,000 tons of aluminum per year.

According to the two companies, BEMO is the largest energy and metals investment project in the world and is the first example of a large-scale public-private partnership in the country. About 10,000 jobs have been created at BEMO.

“The launch of the first production line of the Boguchansky aluminum smelter is a great example of the successful implementation of a cooperative large scale Russian project,” Nikitin said. “Along with the Khakass aluminum smelter built by RUSAL and the Taishet plant, which is now under construction, the introduction of the new BoAZ capacities operating on the most modern technologies will not only ensure the production of competitive products, but will also make a great contribution to the socioeconomic development of both Siberia and the country.”

“The Boguchanskaya hydropower station has already developed more than 70 billion kWh of electricity, which exceeds the annual energy consumption of the entire Krasnoyarsk territory,” added Shulginov.

An investment of US$1.6 billion has been made for the first stage of the smelter with an annual capacity of 298,000 metric tons (mt). The project is being financed by both UC RUSAL and RusHydro’s own funds and as part of a financing project by Vneshekonombank (VEB).