Qatar Aluminum Manufacturing Co (Qamco) confirmed that its joint venture, Qatalum, has ended its marketing and offtake agreement with Norsk Hydro. Qatalum will provisionally take over the sales and marketing of its own aluminum products.
The move prompted Hydro to issue a force majeure notice to its customers. Despite the friction, Qamco expects no negative material impact on Qatalum’s financial or operational performance. The 648,000-metric-ton-per-year facility has operated at 60% capacity since March due to regional conflict.
Besides, Qamco is investigating the circumstances of Hydro’s public disclosure, stating the partner is obliged to maintain confidentiality.