Emirates Global Aluminium (EGA), the largest industrial company in the United Arab Emirates outside the oil and gas sector, has signed an agreement to supply bauxite from its Guinea Alumina Corporation mine in the Republic of Guinea to the Chinese company- Xinfa, for the next five years.
Under the agreement, EGA will deliver to Xinfa millions of tonnes of bauxite each year from 2020, with the first vessel scheduled to load in January. Abdulla Kalban, managing director and chief executive officer of EGA, said: “GAC is a new global source of high quality bauxite, responsibly produced and with cost-effective shipping using the world’s largest bulk cargo vessels. The strategy we are successfully implementing is to have a diversified customer base for GAC bauxite in major markets, including China and India.”
EGA has developed a transshipment facility in Guinea to enable its bauxite to be shipped using Capesize vessels, lowering transportation costs per tonne. EGA’s GAC project in Guinea, and the Al Taweelah alumina refinery in Abu Dhabi which began production in April, were developed to expand EGA’s upstream aluminium supply chain activities. The projects will create new revenue streams for EGA and should help secure the supply of raw materials the company needs at competitive prices.