KY: Hydro Aluminum To Expand Manufacturing Operation in Henderson With $85M Investment | Trade and Industry Development

KY: Hydro Aluminum To Expand Manufacturing Operation in Henderson With $85M Investment

Jun 03, 2024
Company previously invested $15 million at Henderson facility in July 2022.

Kentucky Gov. Andy Beshear announced exciting growth in the state’s efforts to better support the surging automotive market as Hydro Aluminum Metals USA LLC, a producer of recycled aluminum products, will expand its manufacturing operation in Henderson with an $85 million investment creating 31 high-wage Kentucky jobs.

“Kentucky businesses are constantly finding ways to grow, innovate and further establish the commonwealth as a destination that can support any industry,” said Gov. Beshear. “Hydro Aluminum’s investment will further support the ever-growing and -changing automotive market, and I am thrilled to see this innovative technology make its way to Kentucky. I want to thank the company’s leadership for continuing to invest in the Henderson community and look forward to their ongoing success.”

The investment will see Hydro Aluminum expand its current Henderson facility by 80,000 square feet, bringing the total operational square footage to nearly 200,000. The additional room will allow the company to introduce HyForge technology to the Henderson plant, following in the footsteps of the successful implementation of the HyForge casting technology at the company’s primary plant in Norway and recycling plant in Germany.

The new HyForge casthouse at the Henderson facility is expected to become operational in 2026. When in operation, the new addition will serve the automotive market’s need for smaller diameter, high-quality billets that can be forged directly into high-quality automotive components. This process will help reduce the number of processing steps needed for the operation, leading to a more cost-efficient, higher-quality product compared with the traditional process. The more efficient process will come without compromising safety, and by using a high share of end-of-life scrap, Hydro Henderson will deliver HyForge billets with a low carbon footprint.

“This investment is another step along Hydro’s journey to change the game in aluminum production. Recycling more end-of-life scrap reduces emissions, strengthens security of supply and enables us to deliver new, cutting-edge products to our U.S. customers, made right here in Kentucky,” said Hydro President and CEO Eivind Kallevik. “Hydro Henderson has been at the forefront of producing recycling-based automotive products for nearly 20 years. We work closely with the automotive industry, and introducing Hydro’s HyForge technology will provide Hydro and our partners with a greener advantage. Made in America.”

Hydro’s investment supports production of recycled, low-carbon aluminum, including Hydro CIRCAL, the company’s proprietary advanced material. Hydro CIRCAL is made with a minimum of 75% recycled, post-consumer aluminum scrap. Once in full production, Hydro’s Henderson facility will produce 2,000 to 4,000 tons of Hydro CIRCAL products annually.

Since 1905, Hydro has converted natural resources into valuable products for customers across a range of industries. Currently, Hydro employs 31,000 people at more than 140 locations in 40 countries. The company has produced aluminum in North America since 1993 and employs more than 6,000 people within two business units, Hydro Aluminum Metals and Hydro Extrusions.

Henderson County Judge/Executive Brad Schneider is excited to see Hydro expand in the community and continue to believe in the local workforce: “I am thrilled the leadership at Hydro has chosen its Henderson County facility for such significant capital and workforce investments. It makes me proud that an internationally known and respected company such as Hydro has that level of confidence in our community and its team here. We are grateful for that trust and optimism and vow to do everything we can at county government to make Hydro glad it took this chance on us.”

Whitney Risley, Henderson economic development director of existing industries, looks forward to the innovative company continuing to grow and provide job opportunities for local residents: “We are proud of Hydro Aluminum to announce their expansion of their Henderson facility. They have continued to retool and advance new products in the automotive sector. We appreciate their continued growth and involvement in the Henderson community.”

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