Alcoa, a leading producer of aluminum, and Ma’aden, developer of non-petroleum mineral products in Saudi Arabia, have announced a groundbreaking ceremony for a new joint venture (JV) rolling mill in Ras Az Zawr, Saudi Arabia.
The modern rolling mill will serve the flat-rolled and packaging products segments in the Middle East and other regions.
Ma’aden has 74.9% ownership, while Alcoa has 25.1% ownership in the JV. The new entity is the first integrated food-grade and aluminum smelter rolling mill in Saudi Arabia. Ma’aden-Alcoa JV will also analyze future product offerings depending on demand and market opportunities. The business will initially develop a complete integrated industrial complex, which includes an alumina refinery, a bauxite mine, a rolling mill and an aluminum smelter.
The initial commercial production from the rolling mill and aluminum smelter will begin in 2013. The bauxite mine will have a starting production capacity of 4,000,000 metric tons per year; while the alumina refinery will have a production capacity ranging from 1.8 to 2.0 million metric tons per year. Initial production from the refinery and mine is scheduled in 2014.
Alcoa and Ma’aden have started working on this project to meet the rising global demand for ultra-quality rolled aluminum products, particularly in the Middle East. Overall Ma’aden-Alcoa JV project cost is expected to reach nearly US$ 10.8 billion.
Source: http://www.alcoa.com/