The damaged Jamalco port at Rocky Point has curtailed the company's shipments of alumina. - Contributed

Alcoa said on Monday it expected to have its Jamaican operations back on track by November, adding that its estimate of damage from Hurricane Dean tops US$10 million (J$690 million).

Insurance coverage

"Taking into consideration insurance coverage, the total Alcoa impact from the hurricane - including lost production, business interruption and repairs - is estimated to be US$10 million after tax, the majority being in the third quarter," said the company.

Operations at Jamalco were halted on August 18, a day before the storm hit, possibly mitigating damage to the refinery.

The main fall-out occurred at the port side at Rocky Point, requiring "significant repairs and temporary logistical support for shipping alumina while repair work is completed," said a statement from Pittsburgh, Alcoa's worldwide headquarters.

The Financial Gleaner, sister publication to Wednesday Business, had reported that Jamalco was in discussion with rival Windalco to ship from Port Esquivel in St. Catherine until its port operations were back on track.

Included in the rehabilitation work is the preparation of the storage for alumina.

Alcoa resumed production in the week after the hurricane, ramping up its plant as soon as power was restored.

But the storage problem has also placed limits on production, which is now at 50 per cent of capacity, said Alcoa.

Jamalco is 55 per cent owned by Alcoa World Alumina and Chemicals and 45 per cent owned by the Government of Jamaica, via Clarendon Alumina Partners.

Alcoa secured an additional five per cent to take majority ownership after financing a US$120 million project that boosted refiningcapacity from 1.3 million to 1.425 million tonnes in early 2007.

business@gleanerjm.com