The Volta Aluminium Company (VALCO) has announced plans to fully revive two potlines by 2027 as part of a broader effort to restore smelter operations and expand value addition in aluminium production.
Chief Executive Officer (CEO) of VALCO, Dr. Robert Makila Sambian, said the company had made steady progress in stabilizing its operations and was gradually scaling up production capacity. Speaking to media after a tour of the smelter by members of the Board this week, Dr. Sambian disclosed that VALCO is currently operating 122 cells and is working to re energize an additional 78 cells.
He said this would enable the two potlines to run at full capacity, significantly improving efficiency and output. At full deployment, the two potlines comprise 200 cells. We are operating 122 cells today and are moving to re energize the remaining 78, he stated. This will generate additional volumes to feed into our value added production line, which we recently inspected.
Dr. Sambian explained that VALCO’s recovery strategy is anchored on four key projects. These include ramping up cell operations to full potline capacity, transforming the business model through value added aluminium products, switching to natural gas to replace residual fuel oil, and installing scrubbers at the cell lines to recover and reuse fluoride.
He said the environmental control systems would not only reduce VALCO’s environmental footprint but also improve cost competitiveness. The scrubbers will harvest and re inject fluoride to minimize our environmental footprint and improve the cost competitiveness of the plant, Dr. Sambian explained.
The CEO revealed that the company completed installation of its value addition plant in August 2025 and has since conducted several successful test production runs. We are on a firm path to recovery. By the end of this year, we expect to reach 150 operating cells, a milestone we have not achieved in more than two decades, he said.
In 2027, we aim to fully ramp up to 200 cells. At that level, operations will be sustainable and capable of fully covering power and other input costs, Dr. Sambian added.
The value addition plant represents a watershed moment for VALCO. Test production of electrical conductor grade rods has begun, marking the first time since the 1960s that the company will manufacture finished products rather than simply exporting raw aluminium. Samples have been sent to Europe for certification.
Chairman of the Board, Mr. Horace Ankrah, reaffirmed the Board’s commitment to supporting management in implementing sound policies and strategic decisions to restore VALCO’s competitiveness. We will make sure that we are not just managing, but assisting VALCO to get to where it needs to be, he said.
According to operational improvements detailed by management, the measures mark a clear turnaround for the company, which has struggled for years to sustain production. VALCO was built with an installed capacity of 200,000 metric tonnes of refined aluminium per year but has operated well below capacity for decades due to lack of investment, repairs and maintenance.
The current revival focuses on stabilizing two of five potlines at the Tema facility. The long term vision extends beyond securing current operations and involves either modernizing three remaining idle potlines or constructing a greenfield facility with integrated backward linkages including a bauxite refinery.
Management estimates the larger expansion project promises substantial economic impact. Beyond 5,000 direct jobs, indirect employment could reach 20,000 positions. Revenue projections exceed $1 billion annually once the expanded facility reaches full operation.
Dr. Sambian attributed recent momentum to a fundamental shift in mindset. Over the years, we have been in a state of waiting as a plant for external help. When we came into office, we took the decision that the wait is over, he explained during the tour.
Since introducing price risk management initiatives in 2021, VALCO has experienced significant performance improvements, achieving positive earnings before interest, taxes, depreciation and amortization (EBITDA) for most of the past four years, a milestone that had eluded the company for over a decade.
VALCO was established as a collaborative venture between the Government of Ghana and Kaiser Aluminum in 1967. The aluminium smelter operated under private partners for decades, importing alumina from overseas to feed the plant. In June 2008, the government acquired Kaiser’s remaining shares, making it wholly Ghanaian owned.
The plant has operated with dated technology and obsolete equipment inherited from previous owners, resulting in one of the highest production costs per tonne of aluminium globally. The lack of capital injection and failure to modernize the plant led to VALCO operating under capacity and recording losses for years.
Minister for Lands and Natural Resources, Hon. Emmanuel Armah Kofi Buah, during an October 2024 visit to VALCO, charged management to spearhead full modernization as part of government’s plans to build an integrated aluminium industry anchored on value addition. Bringing VALCO back to its feet is a central pillar of President John Dramani Mahama’s reset agenda, he stated.
The company’s transformation strategy aims to shift from raw aluminium exports to manufacturing finished products, positioning VALCO as a cornerstone of Ghana’s industrialization drive and creating significant employment opportunities across the aluminium value chain.
