Alcan Subsidiary to Invest US$17m to Meet Carbon Cathode Demands

Notre-Dame-de-Briançon and Lannemezan sites in order to rapidly meet the needs of its cathode products customers.

"This investment underlines Alcan's commitment to strengthening its carbon products activities and to consolidating its position in this market to rapidly meet the increasing needs of its customers," said Jean-Philippe Puig, President, Alcan Primary Metal, Europe and Cameroon.

The investment will result in the conversion of the anode baking furnace at the Lannemezan site as well as the installation of a cathode machining line which will lead to greater graphitizing capacity at Notre-Dame-de-Briançon. It will also rapidly increase cathode production capacities starting in late 2008. Before moving forward with this project the Company must first complete required legal procedures and obtain necessary administrative and environmental permits.

Jean-Pierre Cleirec, CEO of Carbone Savoie stated that "Carbone Savoie is dedicated to meeting the growing demand for cathode products. This initiative demonstrates our desire to remain present in all of the carbon market segments and to consolidate the activities at Notre-Dame-de-Briançon and Lannemezan."

Carbone Savoie, a global leader in the cathode products market, already operates two production sites and a research centre in France. The investment in the production site at Lannemezan will create approximately 70 jobs.

Carbon Savoie is recognized for its technical expertise and the quality of its products. In 2006, it had revenues of US$ 120 million and employs close to 500 people.