News: AWC UPDATE 1-Alcoa's Australia unit flags 30% production cut at alumina refinery

(Adds background on Australia gas prices, further details)

Jan 9 (Reuters) -

Aluminium producer Alcoa Corp AA.N said on Monday it expects production at its partially owned Kwinana alumina refinery in Western Australia to be cut by about 30% due to a shortage of gas supplies.

An unit of the refinery, majority owned by Alcoa in a joint venture with Alumina Ltd (AWC) , has been taken offline and process flows will be reduced, the aluminium producer said in statement.

Australia's government announced a 12-month price cap on gas and coal prices in December 2022, in a bid to quell rising energy prices, but natural gas producers have said this may put supply at risk.

The Kwinana refinery has resorted to using diesel instead of gas for some of its operations, as a result of the shortage.

Alcoa did not set out a timeline for when it will resume full production.