Three-Stage Resumption Model for Jamalco

  • Minister of Transport and Mining, Hon. Robert Montague, has said that Jamalco will be implementing a three-stage resumption model as the Clarendon-based facility recovers from a major fire that occurred over a month ago. The fire resulted in significant loss of assets and stopped alumina production. He noted that the three-stage plan will provide the best results for all stakeholders. 
  • The fire, which occurred on August 22, resulted in loss of vital assets, including the powerhouse, two turbine generators, turbine generator control equipment, two control rooms and a fuel oil pump station, and damaged other types of equipment. It has stopped production at the refinery, which will affect the company and the wider economy through lower short-term employment and real GDP. 
  • There will be a decline in alumina production and the related foreign exchange earnings for 2021 into 2022 and possibly into 2023. This is already having a direct effect on the finances of the Clarendon Alumina Production Limited (CAP), as the company will not earn any income until alumina production resumes. He advised that, currently, the refinery’s losses are estimated at US$500,000.00 per day based on production cost of US$150 per ton of alumina, at a production rate of 3,170 tons per day. 
  • Stage one will involve the refinery being returned to action as a single-digester operation, mostly utilising existing infrastructure. During stage two, the plant will be moved to a two-digester operation, which will significantly reduce reliance on JPS and improve power plant reliability by switching to the rental of gas turbines. A new gas-fired powerhouse with heat recovery is to be built to replace the rented boilers during stage three as focus is placed on long-term solutions and improving Jamalco’s efficiency and global competitiveness.

(Source: JIS News)