Emirates Global Aluminium Project Gets Approval from Guinea Parliament

ABU DHABI (Scrap Monster): Emirates Global Aluminium (EGA) has got the approval from the Guinea’s parliament for the amendments in a deal. The deal says the company will start the production of bauxite in the year 207 and the construction of new alumina refinery of capacity 2 million per tonne in 2018.

Legal counsel of mines of Guinea said that the national assembly unanimously approved the amendments of EGA project. Through the clearance of the amendments, EGA got a easy path for the project followed by an agreement of $5 billion signed by the West African nation and Abu Dhabi state owned investment fund Mubadala for developing a bauxite mine and an alumina refinery in ore enriched Guinea.

Previously, this project was owned by a consortium of Dubal, BHP Billiton, Mubadala and Global Alumina and they had a plan to construct a refinery of 2.8 million tonnes capacity. But due to financial crises, they put the plan on delay. EGA project is formed by combining the businesses of Emirates Aluminium and Dubal. It is owned by the investment corporation of Dubai and Mubadala Development Company of Abu Dhabi.

Guinea Alumina Corporation (GAC), fully owned subsidiary of EGA, will operate the project. Through the output this year, EGA is in a position to become the fifth largest aluminium firm in the world. The Guinea project will help EGA to secure raw materials required for UAE’s aluminium smelter. Guinea is the major supplier of bauxite in the world and it is the main raw materials used for the production of aluminium. Alumina is known as partially refined bauxite.

Under the agreement, the raw materials for the production will be ready for exports buy 2017 and the operations of refinery will start by the year 2022.