Noranda Aluminum expects spending on the port capacity expansion project to begin later this year. The scope of works includes harbor dredging and port infrastructure improvements.

Spending on the rod mill project is expected to begin in 2013, with funds allocated for infrastructure development and construction of a new mill to produce redraw rod, which is often used to produce electrical wire, cable and deoxidizing steel.

Noranda Aluminum president and CEO Layle Smith said: "The new rod mill and the port expansion project are attractive to us because they provide avenues for revenue growth and increased productivity, and because their value-creation is largely independent from LME aluminum prices."

"Redraw rod has been one of our strongest primary aluminum products in recent periods, and we expect continued growth in this product. The opportunity to further expand harbor capacity in Port Rhodes represents not only a value-creating investment in our existing bauxite operation, but also an investment in our long-term relationship with the government of Jamaica."