Elkem signs long-term PPA with NTE in Norway

Silicon-based materials provider Elkem and energy firm NTE have entered into a long-term power purchase agreement (PPA) for the period 2028 to end of 2037, with delivery in the NO4 price area in Norway.

The PPA will be part of Elkem’s total long-term contract portfolio, hedging Elkem’s annual power consumption of 3.5 TWh in Norway. The contract volume is 300 GWh/year.

Renewable power is key to producing silicon and silicon-based products with low CO2 emissions and is a central component of Elkem’s climate roadmap to reach net-zero emissions by 2050. The carbon footprint of Elkem’s Norway-produced silicon stands at about one third of the global average.

The new contract with NTE supports long-term operations at Elkem’s plant in Salten, located in Northern Norway. The plant, which has close to 200 employees, is one of the world’s largest and most modern silicon plants, it adds.

It exports silicon and Microsilica products worldwide for sectors such as renewable energy, electronics, infrastructure and defence.

“With access to renewable hydropower and competitive, long-term power agreements, Norwegian industry has the best premise for producing world-leading silicon products with a low carbon footprint that are critical raw materials for European strategic value chains,” says Elkem’s CFO Morten Viga.