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PARIS, Nov 21 (Reuters) – U.S. investment firm American Industrial Partners plans to sell or list on the stock market Aluminium Dunkerque, France’s largest aluminium plant, a union official said on Friday.

The local management informed workers’ representatives of AIP’s plan, Johan Vlietinck, a representative of the CGT union at the site, told Reuters.

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Bloomberg News had reported earlier that AIP was considering a sale or listing for Aluminium Dunkerque, which it acquired four years ago following a debt default by GFG Alliance, owned by commodities tycoon Sanjeev Gupta.

A spokesperson for AIP in France said the investment fund was not denying the press reports but would not comment further.

Aluminium Dunkerque did not respond to a request for comment.

The smelter is classed as a strategic site and any non-French buyer would be subject to a special foreign investor procedure, the economy ministry said, without commenting on the reported sale process.

LONG-TERM POWER CONTRACT SECURED

Unions had anticipated a possible sale after Aluminium Dunkerque signed a 10-year power contract with utility EDF in May, providing long-term cost visibility for the energy-intensive business, Vlietinck said.

Aluminium Dunkerque, located next to the northern French port of Dunkirk, produces around 300,000 metric tons of raw aluminium per year and is one of Europe’s biggest aluminium smelters.

It has an annual power consumption roughly equivalent to that of Marseille, France’s second-largest city.

It generates annual turnover of more than 800 million euros ($921.4 million), according to its website.

No offers for the business have been communicated to workers’ representatives, Vlietinck said.

The CGT is opposed to any potential return of mining group Rio Tinto, which it considers to have underinvested during its ownership of the site before selling it to GFG Alliance, Vlietinck said.

The union would like the French state to invest as part of a consortium, he added.

($1 = 0.8682 euros)

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