Novelis receives $2.5 million grant for Alabama project

Alabama Gov. Kay Ivey has awarded a $2.5 million grant to help aluminum manufacturer and recycler Novelis Inc. build a plant in Bay Minette, Alabama, and create 800 new jobs, according to a news release from Alabama Department of Economic and Community Affairs (ADECA).

Community Development Block Grant funds will help provide the infrastructure required for Novelis’ $2.4 billion facility in Bay Minette on a 3,000-acre site off Alabama Highway 287 and Interstate 65.

“This commitment from Novelis Inc. to construct a high-tech aluminum plant will have a major impact on Baldwin County and is evidence of Alabama’s strong business climate and its capable workforce,” Ivey says. “I am pleased to award these funds in support of this project which will bring hundreds of job opportunities to the area.”

In May 2022, Atlanta-based Novelis along with Gov. Ivey announced plans to build the low-carbon and energy-efficient aluminum rolling and recycling plant at the south Alabama location.

Novelis says the facility initially will have the capacity to produce 600,000 metric tons of finished aluminum goods annually. 

The company says more than half the capacity of the new facility will be used to serve a growing demand for aluminum beverage can sheets in North America, which is driven by consumer preference for more sustainable packaging. In addition to the beverage can market, the facility will serve the automotive market.

The grant, administered by the ADECA, will be used to extend public water and sewer services to the plant. The city of Bay Minette has pledged $650,000 in labor and equipment for the utility extensions.

“Projects like this do not just happen on their own. They take a lot of teamwork and cooperation by local leaders who work tirelessly to put all the pieces in place,” ADECA Director Kenneth Boswell says. “ADECA is pleased to join Gov. Ivey in being part of this project which will provide many benefits to Bay Minette, Baldwin County and the entire region.”

Gov. Ivey notified Mayor Robert Wills that the grant had been approved, ADECA says. The department manages a range of programs that support law enforcement, economic development, recreation, energy conservation and water resource management.