For a major North American aluminum producer, CRA assisted in the evaluation of the potential ramifications of a change in the pricing structure of electricity generated from small hydro facilities for a major aluminum smelter. This involved an independent analysis of the various components of the aluminum smelter cost structure and the potential effects that this would have on the long-term viability of the smelter. The concerns of disparate parties including boaters, conservationists, and local residents had to be factored in to reach a solution that would protect all interests. CRA presented various scenarios of costs and long-term price of aluminum to help in the formulation of the compromise
Mining arbitrations involving offtake agreements: Industry and damages considerations
Under an offtake mining agreement, a buyer or offtaker commits to purchase a specified quantity or portion of a seller’s future mining output. Offtake mining...