(Reuters) – Norwegian aluminium maker Norsk Hydro said on Wednesday it would phase out its battery and green hydrogen businesses while driving up growth in aluminium recycling and extrusions, as it seeks to sharpen its focus on green aluminium.
“Battery materials and green hydrogen will no longer be strategic growth areas for Hydro and no further capital will be allocated,” it said.
The company is launching a new cost cutting programme targeting 6.5 billion Norwegian crowns ($582 million) of savings by 2030 through improved operational efficiency, better procurement processes and digital transformation.
These efforts are aimed at strengthening execution in the recycling and extrusions businesses towards 2030, Hydro said in a statement ahead of its investor day event, and confirmed its 2030 adjusted core profit target at the lower end of a 5-8 billion crown range despite market challenges.
($1 = 11.1685 Norwegian crowns)
(Reporting by Elviira Luoma and Jesus Calero in Gdansk; editing by Milla Nissi)
