ALUM continues the investments for identifying solutions to convert the red mud into a commercially usable product

• In 2018 and 2019, ALUM continued the research activities regarding the ecological technologies for bauxite residue storage and for its valorization within other industries, especially in agriculture

• The on-field studies continued to be conducted at Agricultural Research Station located in Albota, Pitești, Arges County, with the support of ICPA Bucharest

• The Company invested about one million USD, in 2018, to ensure operational continuity and increase the lifetime of the mud dump

Tulcea, March 6, 2019 - ALUM S.A. (BSE, ATS segment - AeRO: BBGA), the only producer of calcined alumina in Romania, allocated more than one million USD, last year, in safely storing the red mud from bauxite processing. The Company continues its strategic program of converting the red mud into a commercially viable product in other industries, especially to be used in agriculture to neutralize acidic soils and increase crop’s productivity.

"In addition to the program of constantly modernizing and diversifying production that we implement at ALUM, we also continue the investments that have positive impact on the environment, which helps us reduce the environmental footprint of the Company", said Gheorghe Dobra, CEO ALUM. "Last year we invested in the modernization of the mud dump, but at the same time we continued our strategic program for identifying solutions and opportunities to use this secondary product in agriculture and we obtained very good results in terms of soil fertilization”, added Gheorghe Dobra.

As part of its environmental protection plan, ALUM continues the research activities for the commercial use of the mud, with emphasis on acid soil transformation, agricultural crop production and plant quality when the soil is fertilized with this product. The annual program is implemented by the National Institute for Research and Development for Soil Science, Agro-Chemistry and Environmental Protection (ICPA Bucharest), and the experiments are carried out in agricultural research facilities located in Albota Pitesti, Arges which have an albic luvisol, that is a typical acid soil with moderate pH and inappropriate agrochemical properties from the perspective of intensive agriculture.

Until now, different amounts of red mud have been used in combination with organic and chemical fertilizers in different experimental versions of the quantities used. Thus, usage of red mud on moderate acid soils increases the alkalinity of the soil, transforming a natural acidic soil in a conventional alkaline soil, by increasing the content of its chemical properties.

The experiments conducted by ALUM have shown that the red mud can be converted into a semi-finished product for use in agriculture, construction or metallurgy.

ALUM initiated the research work on the variable composition of the mud in 2011 with the aim of finding new technologies to convert the red residue obtained from the processing of the bauxite, in a product commercially viable. In recent years, several monitoring, research and laboratory tests have been carried out on the storage and use of red mud by prestigious research institutes in Romania, such as ICIM Bucharest (The Research Institute of the Ministry of Environment), ECOIND Bucharest, IMNR Bucharest, IPROCHIM SA Bucharest etc.

ALUM implements various environment-related projects, including the modernization of red mud storage started in 2009. At that time, the mud dump underwent a technological upgrading program. Subsequently, ALUM has allocated USD 500,000 annually for its maintenance, in line with environmental regulations. ALUM has strengthened the dam and completed partial ecological closure in the main dam area. Also, trees were planted, a pluvial water collection system was built and the flood prevention channel was deflected. In addition, a water spray system has been implemented to wet the surface of the red slurry and prevent the surface from spreading, and a groundwater quality monitoring system has been introduced.

For further information, please contact:

www.alum.ro

Florenta Ghita

Bucharest

Phone: +40 744 644 004

Email: investor.relations@alro.ro

About:

ALUM

ALUM is the only Romanian producer of calcined alumina and is part of ALRO Group. The calcined alumina is used for the production of aluminium and ALUM has an alumina refinery with a production capacity of 600,000 tonnes of alumina per year. The alumina produced by the company is supplied both on the domestic market to ALRO S.A. and internationally. ALUM’s shares have been traded on the Bucharest Stock Exchange since 1997.

ALRO Group

ALRO S.A. and its subsidiaries are collectively referred to as ''ALRO Group'' or ''the Group''. The companies part of ALRO Group are: Alro S.A. – the aluminium producer, Alum S.A. – the alumina producer, Sierra Mineral Holdings I, Ltd. – the bauxite mining company, Vimetco Extrusion S.R.L. – extrusion processing business line, Conef S.A. – Alro share portfolio management, Global Aluminium Ltd. – holding entity and Bauxite Marketing Ltd. Having this structure, the Group created an integrated production chain, assuring the raw materials for ALRO.

                             Chairman of Board of Directors/ CEO                               CFO

                                            Gheorghe DOBRA                                     Mihaela DURALIA