Sale of Hawesville

3 Months Ended

Mar. 31, 2026

Discontinued Operations and Disposal Groups [Abstract]

4. Sale of Hawesville

In August 2022, we fully curtailed production at the Hawesville, Kentucky facility ("Hawesville"). On February 2, 2026, we completed the sale of the facility to an affiliate of Terawulf, Inc. for $200.0 million in cash and a 6.8% non-dilutive minority equity interest in Raylan Data Holdings LLC (the "Minority Interest"), a joint venture that intends to develop and own a high-performance computing/artificial intelligence data center on the site. We also have the right to require the majority holder to purchase the Minority Interest for $300.0 million starting on the first anniversary of the data center’s commencement of the data center's operations—defined as delivering at least 375 MW of critical IT load to data center customers (the "Put Option"). The Minority Interest and Put Option were measured at fair value at the acquisition date as one unit of account and will be accounted for using the equity method. We recognized a gain of $287.9 million in connection with the sale.

The major classes of assets and liabilities that were sold are as follows:


Assets
Inventories	$	4.1
Property, plant and equipment - net	13.5

Liabilities
Asset retirement obligations	8.8

As a result of the sale, in accordance with a debt covenant, we set aside part of the cash proceeds restricted for use only on capital expenditures or otherwise invested in our business, of which $88.1 million remains on our Consolidated Balance Sheets at March 31, 2026.