Aluminium producer Alro Slatina plans to start construction works on a gas-fueled thermal power plant near Tulcea in Romania, an investment which could reach EUR 500 million, according to Alro director Gheorghe Dobra.

The electricity generated by the power plant, with a planned capacity of 420 MW, will be used for Alro's own consumption. Works on the power plant, currently in the permitting phase, could last four to five years and could start in 2012.

Alro posted a preliminary net profit of around USD 50.4 million in 2010, when its turnover was of USD 570 million. The company is among the biggest electricity consumers in Romania. It currently has a contract to buy electricity from Hidroelectrica, which will expire in 2018.

Alro is a subsidiary of Vimetco NV. In Slatina, the company employs 2,300 people.

editor@romania-insider.com