Alcoa, the largest US aluminum producer, is on the verge of selling its idle Massena East smelter in upstate New York to New York Digital Investment Group (NYDIG), a Bitcoin firm, as it divests idle assets and capitalizes on the demand for energy-equipped industrial sites. According to CEO Bill Oplinger, advanced negotiations are underway, with the deal expected to be finalized mid-year, as reported by Bloomberg. The site, situated along the St. Lawrence River, has remained dormant since 2014 due to high operational costs and global competition.
Its appeal, however, lies not in aluminum production but in its existing power infrastructure, which is ideal for bitcoin miners and data center developers seeking swift access to the grid. The site's access to hydropower from the New York Power Authority is an added draw, offering low-cost, carbon-neutral energy. This sale reflects a larger trend, as seen in Century Aluminum's sale of a Kentucky smelter to TeraWulf earlier this year, which plans to develop a digital infrastructure campus for high-performance computing and AI.