Abu Dhabi: The board of Emirates Aluminium (Emal) has approved a $4.5 billion (Dh16.51 billion) investment that seeks to almost double the Al Taweelah-based facility's production capacity to about 1.3 million metric tonnes a year by the end of 2014, Emal said yesterday.
Emal, which is on track to produce 750,000 tonnes of aluminium this year, is a $5.7-billion joint venture between Dubai Aluminium and Abu Dhabi's Mubadala Investment Company and was established in February 2007 to construct what will become the world's largest single-site aluminium smelter complex.
"In just three years, Emal has become a global competitor in the aluminium industry. Phase II will equip Emal to grow the global customer base we have already established. It is also a clear demonstration of the confidence we have in the future market for aluminium and in Emal to deliver to our customers," said Emal's President and Chief Executive Officer Sa'aed Fadhel Al Mazrooei.
Commenting on the development, Dr Mohammad Amerah, an Abu Dhabi-based economist, told Gulf News the expansion of Emal would help create more jobs for the UAE nationals.
"The expansion of the facility means Emal would be able to penetrate new markets, in addition to being in a position to increase supplies to its existing markets. This would help increase its export revenues, which would flow back into the UAE economy. In terms of global economy, the expansion would mean the weightage of UAE would rise as far as its exports are concerned," Amerah added.
Sajith Kumar P.K., chief executive officer of Dubai-based commodities trading firm JRG International, told Gulf News that Emal's expansion would help meet the growing aluminium requirements of countries that are part of the GCC. These countries need more aluminium to boost their infrastructure development.
The Emal phase II project will entail the construction of a new potline within the Emal complex.
