Alcoa to Divest Idle New York Smelter for Crypto Infrastructure Hub

Alcoa, the largest aluminum producer in the United States, is nearing a deal to sell its idle Massena East smelter in upstate New York to the bitcoin firm New York Digital Investment Group (NYDIG). CEO Bill Oplinger stated that the company is in advanced negotiations and expects the transaction to conclude by the middle of this year. The facility, located along the St. Lawrence River, has been inactive since 2014 after Alcoa shuttered operations due to global competition and high overhead costs. While the site no longer produces metal, its value remains high due to its robust power infrastructure, including dedicated substations and transmission lines designed for continuous, heavy-load industrial use. For bitcoin miners and data center operators, acquiring existing industrial power sites significantly accelerates the timeline for securing grid access. The Massena East site is particularly attractive because of its access to carbon-free hydropower provided by the New York Power Authority, aligning with the industry's push toward sustainable energy. This transaction is part of a wider trend of converting legacy industrial assets into high-performance computing centers. Earlier this year, Century Aluminum sold a Kentucky-based smelter to TeraWulf to support AI and digital infrastructure. This shift is underpinned by massive capital inflows into the sector; AI companies raised $242 billion in early 2026, and Gartner projects total AI spending will reach $2.52 trillion this year.