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EGA is also building an alumina refinery in Abu Dhabi

EGA is also building an alumina refinery in Abu Dhabi



Big boost to UAE’s aluminium exports

The recent deal between DP World and EGA is an opportunity for the two firms to support Dubai and the UAE’s economy

August 2018

In a move aimed at boosting the UAE’s position as an aluminium exporter, DP World, the Dubai-based ports operator, signed a deal with Emirates Global Aluminium (EGA), an aluminium conglomerate and a leading industrial company in the UAE outside oil and gas.

The deal, a long-term service agreement, extends the partnership between the two companies, and facilitates the storage and transportation of aluminium manufactured by EGA.

Under the agreement, EGA will lease a storage area that is the largest used by a company at Jebel Ali Port and that will further ease the export of EGA’s metal worldwide. EGA’s new yard at the port is over 175,000 sq m and has storage capacity of around 60,000 tonnes.

EGA will benefit from DP World’s range of services

EGA will benefit from DP World’s range of services

Sultan Bin Sulayem, chairman and chief executive officer of DP World, said the deal was an opportunity for the two companies to work together to support Dubai and the UAE’s economy.

“This new agreement opens the door to an enhanced level of collaboration … It’s another step towards strengthening our nation’s diversifying economic base,” he said in a statement.

Meanwhile, EGA said it will benefit from DP World’s range of services catering to its products that require special handling.

“EGA and DP World are two champions of economic diversification in the UAE, and that makes our work together important not just for our companies but also for our nation,” said Abdullah Kalban, managing director and chief executive officer of EGA.

 

EGA to supply Vedanta

Meanwhile, EGA, last month, signed an agreement under which it will supply Vedanta bauxite from its mining project in the Republic of Guinea.

Kalban and Vedanta’s chief executive officer of diversified metals Samir Cairae and chief executive officer of alumina and power Ajay Dixit participated in a signing ceremony in New Delhi, India, said a statement from EGA.

Bauxite is the ore from which aluminium is derived. EGA’s wholly-owned subsidiary Guinea Alumina Corporation is building a bauxite mine and associated export facilities in Guinea, in one of the largest greenfield investments in the country in the past 40 years, it said.

First bauxite exports from the GAC project are expected during the second half of 2019. Once full-ramp up is achieved, GAC is expected to produce some 12 million tonnes of bauxite per year, it added.

Much of Guinea’s bauxite is amongst the highest quality worldwide.

Kalban said: “When GAC starts production it will be a new source of high quality bauxite for the world’s aluminium industry, benefiting the economies of Guinea, the UAE and countries like India.”

“This agreement with Vedanta is an important milestone in the development of this project, and we look forward to reliably supplying them with bauxite in the years ahead through safe and responsible operations at GAC,” he said.

EGA supplied Vedanta with three sample shipments of bauxite from GAC in 2017, to enable testing of the ore in Vedanta’s alumina refinery. The sample shipments totalled approximately 150,000 tonnes, said a statement.

EGA will ship the bauxite from Guinea to India using Capesize vessels, amongst the largest bulk cargo ships in the world.

GAC’s total budgeted project cost is approximately $1.4 billion.

EGA is also building an alumina refinery in Abu Dhabi, to refine bauxite ore into alumina which is the feedstock for aluminium smelters. Bauxite for EGA’s Al Taweelah alumina refinery will be supplied by Compagnie des Bauxites de Guinée under a separate agreement, it stated.




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