Alcoa, the largest aluminum producer in the US, is on the verge of selling its inactive Massena East smelter in upstate New York to New York Digital Investment Group, a leading Bitcoin firm, as part of its strategy to offload unused assets and meet the growing demand for energy-intensive industrial sites. According to CEO Bill Oplinger, the company is in advanced negotiations and expects the sale to be finalized by mid-year.
The site, situated along the St. Lawrence River, has been idle since 2014 due to high operational costs and global competition.
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 cost associated with securing grid access. Furthermore, the site has access to low-cost, carbon-free hydropower from the New York Power Authority, making it an ideal location for firms looking to minimize their environmental footprint. This sale reflects a larger trend, as seen in Century Aluminum's recent sale of a Kentucky smelter to TeraWulf, which plans to develop a digital infrastructure campus supporting high-performance computing and AI applications.