Arconic has announced its receipt of a portion of the proceeds from the sale of the Yadkin Hydroelectric Project to Cube Hydro Carolinas by Alcoa Power Generating Inc., a subsidiary of Alcoa Corporation.
Yadkin encompasses four hydroelectric power developments with a total capacity of 210 MW (reservoirs, dams and powerhouses), known as High Rock (33 MW), Tuckertown (38 MW), Narrows (108 MW) and Falls (31 MW), situated along a 38-mile stretch of the Yadkin River through central North Carolina.
The sale agreement was originally announced in July 2016 as part of the company’s strategy to continue to strengthen its balance sheet and maximize cash flow through sales of non-essential assets.
Upon the separation of Alcoa Corporation from Arconic Inc. on November 1, 2016, Alcoa Power Generating Inc., including Yadkin, became part of Alcoa Corporation. Under an agreement reached as part of the separation, Alcoa Corporation was to remit to Arconic the net after-tax proceeds from the sale of Yadkin. Arconic has received cash of US$238 million in the first quarter of 2017 and expects to receive an additional US$5 million in the second quarter of 2017.