04:26 AM EDT, 09/30/2025 (MT Newswires) -- Alcoa ( AA ) said Monday that it will record restructuring Q3 charges of about $890 million related to the permanent closure of its Kwinana alumina refinery in Western Australia.

The decision, which follows production cuts at the refinery last year, will have a quarterly after-tax impact of $623 million, or $2.41 per share, the company said.

Asset retirement obligations and employee liabilities outlays related to the closure of the site are expected to total about $600 million over the next six years, including about $75 million in Q4.

Alcoa ( AA ) cited the age of the facility, operating costs, market conditions, and raw material challenges as reasons for closing the refinery.

Port and associated rail facilities at Kwinana will continue to operate, along with Australian operations, the company said.

Permanently closing the facility will reduce Alcoa's ( AA ) annual global refining capacity by 2.2 million metric tons to 11.7 million metric tons, the company said.

The company will also record Q3 adjustments to asset retirement obligations primarily in Brazil, resulting in an after-tax charge of around $50 million, or $0.19 per share.