Alcoa 2015 Annual Report Download - page 49

Australia – Natural Gas
AofA holds a 20% equity interest in the Dampier-to-Bunbury natural gas pipeline (this interest was purchased in
October 2004). This pipeline transports gas from the northwest gas fields to Alcoa’s alumina refineries and other users
in the Southwest of Western Australia. Alcoa uses gas to co-generate steam and electricity for its alumina refining
processes at the Kwinana, Pinjarra and Wagerup refineries. More than 90% of Alcoa’s gas requirements for the
remainder of the decade are secured under long-term contracts. In 2015, AofA entered into a number of long-term gas
supply agreements which now means a significant portion of Alcoa’s gas supplies are secured to 2030. Alcoa has
remained actively involved with projects aimed at developing cost-based gas supply opportunities.
Energy Facilities
The following table sets forth the electricity generation capacity and 2015 generation of facilities in which the
Company has an ownership interest:
Country Facility
Alcoa Consolidated Capacity
(MW)12015 Generation (MWh)
Australia Anglesea2150 798,542
Brazil Barra Grande 156 1,562,663
Estreito 157 1,088,018
Machadinho 119 1,780,924
Serra do Facão 60 171,294
Canada Manicouagan 132 1,161,994
Suriname Afobaka 189 673,950
United States Warrick 657 4,538,257
Yadkin 215 661,214
TOTAL 1,835 12,436,856
1The Consolidated Capacity of the Brazilian energy facilities is the assured energy that is approximately 55% of
hydropower plant nominal capacity.
2The Anglesea facility was permanently closed on August 31, 2015.
Patents, Trade Secrets and Trademarks
The Company believes that its domestic and international patent, trade secret and trademark assets provide it with a
significant competitive advantage. The Company’s rights under its patents, as well as the products made and sold under
them, are important to the Company as a whole and, to varying degrees, important to each business segment. The
patents owned by Alcoa generally concern particular products or manufacturing equipment or techniques. Alcoa’s
business as a whole is not, however, materially dependent on any single patent, trade secret or trademark. As a result of
product development and technological advancement, the Company continues to pursue patent protection in
jurisdictions throughout the world. At the end of 2015, the Company’s worldwide patent portfolio consisted of
approximately 986 pending patent applications and 1,923 granted patents.
The Company has a number of trade secrets, mostly regarding manufacturing processes and material compositions that
give many of its businesses important advantages in their markets. The Company continues to strive to improve those
processes and generate new material compositions that provide additional benefits.
The Company also has a number of domestic and international registered trademarks that have significant recognition
within the markets that are served. Examples include the name “Alcoa” and the Alcoa symbol for aluminum products,
Howmet metal castings, Huck®fasteners, Kawneer®building panels and Dura-Bright®wheels with easy-clean surface
treatments. The Company’s rights under its trademarks are important to the Company as a whole and, to varying
degrees, important to each business segment.
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