Abu Dhabi: Investors who have signed up with Abu Dhabi's Khalifa Industrial Zone (Kizad) are together planning $5 billion in investments by 2015 to establish their industries in the zone, Khalid Salmeen, executive vice-president of Industrial Zones at Abu Dhabi Ports Company (ADPC), told reporters at a news conference.
"We have signed 30 contracts so far. The investors are either solo or are in joint ventures. Most of the investors have local partners. The investors are from India, South Korea, China and Germany," said Salmeen.
The Dh26.5 billion Kizad in Taweelah will become operational in the fourth quarter of 2012, as scheduled, just when the new Khalifa seaport opens, he said.
"As of now, 78 per cent of the industrial zone is complete, while the port is 90 per cent complete. The port and the industrial zone put together are 86 per cent complete," said Salmeen, giving an update on the ambitious project.
Kizad also yesterday announced the signing of a long-term ground development lease (Musataha) agreement with Talex, the Taweelah Extrusion Company.
The agreement will bring Dh735 million investment in Kizad, which has secured Talex more than 200,000 square metres of land in one of the world's largest industrial zones.
Talex is a joint venture between Abu Dhabi Basic Industries Corporation, and Gulf Extrusions and is planning to commence operations in Kizad in the fourth quarter of 2013 to produce high end extrusion products for the automotive markets.
"Strategically situated in this cluster, Talex will directly benefit from Emal, providing the aluminium in molten form via the innovative ‘Hot Metal Road', allowing it to provide its customers with the highest quality automotive products and the opportunity to be competitive in the marketplace.
"This is a great example of the kind of diversification Kizad is looking to create, which brings us one step closer to achieving the target set within Abu Dhabi's 2030 Economic Vision," said Salmeen.
The ‘Hot Metal Road' enables the transportation of aluminium from the smelters to midstream and downstream manufacturers in molten form, considerably reducing costs and environmental impacts, and saving enough energy to power 160,000 homes.
Anchored by Emal's smelter, which is anticipated to be the largest single site smelter in the world, the production of downstream products will be through seamless operations from upstream to downstream producers. End products will include transportation and industrial materials, electrical and solar equipment, road furniture and architectural materials.
Last year, in November, ADPC unveiled the 417 square kilometre Kizad, strategically located between Abu Dhabi and Dubai at Taweelah.
"It's a special economic zone. Some foreign investors will be granted 100 per cent ownership," Dr Sultan Al Jaber, chairman of ADPC, told reporters at the time. Tony Douglas, ADPC's chief executive, said at the time there are 267 plots in Kizad. "Kizad will have low operational costs, access to the global markets, besides being an easy place for doing business," said Douglas.
With one of the world's most advanced deepwater seaports and world-class infrastructure including Etihad Rail's network, Kizad will benefit from connectivity via sea, air, road and rail networks to ensure easy accessibility to and from the Industrial Zone. Kizad's phase-I is spread over 51 square km.
Kizad is a cornerstone of the Abu Dhabi Econ-omic Vision 2030 which also highlights the drive to diversification of the economy in pursuit of sustainable growth that's less dependent on the oil and gas industries.