Rusal’s alumina refinery in Limerick faces energy market suspension

The recent suspension of Aughinish Alumina from Ireland’s ex-ante energy market on July 24, 2025, has brought to the fore the increasing dilemmas around geopolitical commitments and industrial continuity, even as the plant, Europe’s largest alumina refinery, continues to operating, at least while its owner, the Russian Rusal, is becoming increasingly embroiled in the effect of sanctions arising out of Russia’s invasion of Ukraine. 

Enterprise Minister Peter Burke confirmed, “We’re working with the company, and that’s the key thing… We need to ensure that there is a pathway.”

Despite being disconnected from the energy trading platform, a spokesperson for Eirgrid clarified, “Aughinish Alumina have not been taken offline and remains connected to the transmission system. EirGrid can confirm that Aughinish Alumina have been suspended from the ex-ante market in line with a decision by ECC (European Commodity Clearing).” This distinction is crucial as the plant continues to draw power, but cannot participate in forward energy trading.

Global supply chain fractures: a legacy of Rio Tinto’s exit

One of the more significant challenges for Aughinish is sourcing raw materials. In March 2022, Rio Tinto stopped supplying bauxite to the Limerick-based refinery. Disruption to the flow of trade, normally on a barter-like arrangement via Guinea and Brazil, as then in the trade loop, caused a break: bauxite for alumina. The partnership had seen geopolitical tensions develop from a very great increase in global bauxite production for 3 years, and it was ultimately these tensions that ended the  partnership. The outcomes are a concern over raw material security and long-term viability.