Venezuela plans first aluminum shipment to US in years through Mercuria and Heeney Capital deal

Venezuela is preparing to send aluminum to the United States for the first time in years, with roughly 15,000 metric tons of the metal set to leave the country as early as September 18. The shipment, produced by state-owned smelter Venalum, is the opening act of a broader minerals partnership between commodities trader Mercuria Energy Group and investment firm Heeney Capital. The deal underpinning this cargo is not small. Offtake agreements signed on May 1 are valued at approximately $2.2 billion annually, covering Venezuelan minerals and gold. And if additional aluminum, nickel, and ferrous product deals clear the necessary approvals, the partners estimate another $3 billion per year in export value could follow. A smelter running on fumes gets a second look Venalum was once a crown jewel of Venezuela’s industrial base. The facility has an installed capacity of around 430,000 metric tons per year, and Venezuela’s aluminum production historically exceeded 600,000 tons annually across its operations. Chronic power shortages, collapsing infrastructure, and years of underinvestment ground production down to roughly 100,000 tons or less in recent years. Mercuria and Heeney are not the ...