Ormet Reduces Operations at Smelter in Hannibal, Ohio - WTRF 7 News Sports Weather - Wheeling Steubenville

Ormet announced on Tuesday that will be reducing operations at it's Hannibal, Ohio smelter to four potlines.

This announcement comes as the company continues to mitigate the impact of the PUCO ruling in the AEP Security Plan rate case on Aug. 8.  This ruling raised Ormet's electricity costs over $20 million.

The company has already issued a WARN notice to 998 employees on July 19.

These actions taken in Hannibal could potentially adversely affect 252 employees at the Burnside Louisiana refinery.

"The current aluminum market and the dramatically increasing cost of electricity in Ohio have forced us to make additional reductions in operating levels at the Hannibal operation," said Ormet CEO Mike Tanchuck. "The people of Ormet and the surrounding communities are very grateful for the support we have received in the past from our energy contract.  The current issue is that AEP's electricity rates have increased so much that Ormet needs additional assistance to keep employment levels up."

Ormet officials say the will continue to work hard and protect jobs at both facilities.

"We have been working very hard with AEP and the State of Ohio over the past several months to formulate a solution to the rising electricity prices, but unfortunately could not come to an agreement for any of the alternatives developed," said Tanchuk.