Information about the energy situation at ROLEC in regards to uncertain gas supply with Russian natural gas

Current status at ROLEC

- Our production/warehouse halls are heated with natural gas.
- The process heat for powder coating is also generated by natural gas combustion.
- Two-thirds of our office space is already heated with air source heat pumps.

Mid-term strategy (next 24 months)

- Heating of the offices as well as production and warehouse halls will be almost completely switched to air source heat pumps.  
- A photovoltaic plant with a peak output of 650 KW will be in operation in Q4 of 2022.

We are aware that these actions will not be enough to become independent of Russian natural gas in the short-term. Therefore we have been working with high pressure for several weeks to put an oil heating system in operation as a backup.  Of course, this will just be a temporary emergency solution.

Emergency strategy (short-term)

- In addition to our existing natural gas heating system we will install until the winter of 2022/2023 a new oil heating system with a fuel capacity of 15.000 liter. This allows us to use either gas or oil, subject to the current market situation.
- Until September 2022 one of our two powder coat furnace will be equipped with a duel-fuel burner. So, that we are able to run the furnace either with gas or oil. A 3-shift system would allow us to maintain the current production capacities even without natural gas. As both furnace are currently running less than one and a half shifts.  

ROLEC production facility Portugal

The gas used in our production facility in Portugal is obtained exclusively from  African countries. With that being said, the production is completely independent of Russian natural gas. Energy has become considerably more expensive in Portugal. Nevertheless, energy will remain available with a high degree of certainty. ROLEC's powder coating plant in Portugal is currently working in a one-shift system. So, we are able to quickly make free production capacities available in the event of an emergency.

We will be able to run our production with a high degree of certainty throughout the winter of 2022/2023, even if natural gas supplies from Russia don’t materialise. The high percentage of aluminium castings produced in Portugal will also not be affected. As the gas used for the melting process of the raw aluminium is sourced from Africa.

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