Alcoa, the largest aluminum producer in the US, is on the verge of selling its dormant Massena East smelter in upstate New York to New York Digital Investment Group (NYDIG), a bitcoin firm, as part of its strategy to offload unused assets and capitalize on the growing demand for industrial sites with existing energy infrastructure. According to CEO Bill Oplinger, the company is in advanced negotiations and expects the sale to be finalized by mid-year, as reported by Bloomberg. The site, situated along the St.
Lawrence River, has remained inactive since 2014 due to high operational costs and global competition. However, its appeal lies in its existing power infrastructure, which includes dedicated substations and transmission lines, making it an attractive location for bitcoin miners and data center developers seeking to reduce the time and complexity associated with securing grid access. Furthermore, the site's access to hydropower from the New York Power Authority offers a low-cost and carbon-neutral energy source, making it an ideal location for firms seeking to minimize their environmental footprint. This deal reflects a larger trend, as evidenced by Century Aluminum's recent sale of a Kentucky smelter to TeraWulf, which plans to develop a digital infrastructure campus supporting high-performance computing and artificial intelligence applications.