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Commitments and Contingencies
 12 Months Ended
Dec. 31, 2024
Commitments and Contingencies  
Commitments and Contingencies

Note 8. Commitments and Contingencies

The company has entered into certain commitments with suppliers which are of a customary nature. Commitments have been entered into relating to future expected requirements for commodities such as electricity, water, natural gas and its transportation services, fuel, air products, zinc, and electrodes. Certain commitments contain provisions which require that the company “take or pay” for specified quantities at fixed prices without regard to actual usage for periods of generally up to 5 years for physical commodity requirements and commodity transportation requirements, with some extending beyond, and for up to 15 years for air products and 27 years for water products. The company utilized such “take or pay” requirements during the past three years under these contracts. The company believes that production requirements will be such that consumption of the products or services purchased under these commitments will occur in the normal production process.

The company’s commitments for these agreements with “take or pay” or other similar commitment provisions for the years ending December 31 are as follows (in thousands):

​

​

​

​

​

​

​

2025

​

$

358,976

​

​

2026

​

​

57,430

​

​

2027

​

​

37,483

​

​

2028

​

​

24,360

​

​

2029

​

​

18,698

​

​

Thereafter

​

​

164,532

​

​

​

​

$

661,479

​

​

​

Note 8. Commitments and Contingencies (Continued)

At December 31, 2024, the company has outstanding commitments of $578.8 million related to ongoing construction of property, plant, and equipment, most significantly the recycled aluminum flat rolled products mill and recycled aluminum slab facilities, as well as other steel operations expansion projects in 2025. The company’s commitments for operating leases are discussed in Note 11. Leases.

The company is involved in various litigation matters, including administrative and regulatory proceedings, that arise in the ordinary course of business, none of which are expected to have a material impact on the company’s financial condition, results of operations, or liquidity.