Oslo: Qatar's Qatalum aluminium smelter will resume production by mid-month and aims to reach full capacity by the end of the first quarter of 2011, co-owner Norsk Hydro said Wednesday, sending its shares up.
The 50/50 joint venture between Qatar Petroleum and Norsk Hydro had originally planned to reach full production by the end of 2010, but an August power failure delayed those plans.
The news of the smelter restarting sent Norsk Hydro shares up 1.5 per cent to 32.05 krona, outperforming a trailing Oslo benchmark, down 0.19 per cent.
"There had been some rumours that the delay could last for more than six months, so this is good news," said Pareto Securities analyst Eirik Dahle. "We had estimated a six-month delay. Now it will be only three or four, with an overall loss of about 150 million Norwegian krona (Dh89.15 million).
