Novelis Starts Earthworks On New Casthouse At Sierre Rolling Mill

SIERRE, March 23, 2007 — Novelis today confirmed that earthworks have been started in preparation for the construction of a new casthouse for its Sierre rolling mill. This follows receipt of the Sierre City authorisation for this first stage of the project. It is anticipated that the full civil works will start by mid-April, thus allowing the new facility to be commissioned in early 2008, as planned.

Since the September 2006 announcement of Novelis' intention to invest US$32 million in the construction of a new casthouse at Sierre, Novelis has been working closely with the appropriate authorities and other stakeholders to ensure that all relevant needs are addressed through the planning application process. The improved plans have been validated by all involved parties and have now been submitted for formal approval by the Sierre City authorities.

The new facility will house a multi-alloy ingot casting centre based on the Company's breakthrough Novelis FusionTM technology for simultaneously casting multiple alloy layers into aluminum ingots. The multi-alloy ingots are rolled into sheet products with previously unattainable product features. The choice of Sierre as the European location for this significant investment reflects the fact that the plant is one of the world's most advanced facilities for the production of automotive sheet – a key target market for the Novelis Fusion material. This follows the recent installation of a fully-automated, high-speed laser cutting system at the plant.

Roland Harings, global vice president for Novelis Fusion and general manager of Novelis Sierre said: “We are looking forward to beginning work on this exciting new addition to our capabilities here at Sierre. Novelis takes its responsibilities as a good neighbour very seriously and will do all it can to minimize the impact of the construction work and subsequent operation of the new centre. The investment is good news for Sierre and will lead to the creation of some 40 additional jobs.”

Novelis Inc. is the global leader in aluminum rolled products. The Company operates in 11 countries, has approximately 12,900 employees, and reported revenue of $9.8 billion in 2006. Novelis offers the capability to provide its customers with a regional supply of technologically sophisticated rolled aluminum products throughout Asia, Europe, North America and South America. Through its advanced production capabilities, the Company supplies aluminum sheet and foil to the automotive and transportation, beverage and food packaging, construction and industrial, and printing markets. For more information, visit www.novelis.com.

Media Contact:
Bertrand Carrupt
027 457 6530
bertrand.carrupt@novelis.com

Released May 23, 2007