Abu Dhabi: Emiroll to build $120m aluminium plantby Paromita Dey on Mar 23, 2016
Emirates Aluminium Rolling (Emiroll) is set to build a new aluminium coil plant in Abu Dhabi, UAE, at an investment of $120m (AED440m).
The facility will come up on a 83,612 sqm area in Khalifa Industrial Zone Abu Dhabi (Kizad) amidst surging demand for flat-rolled aluminium products designed for applications in downstream industries across the UAE and GCC countries.
Both Mars and Dubal Holding, a subsidiary of Investment Corporation of Dubai (ICD) with a focus on investing in energy, commodities and industrial projects, have a 35% stake in Emiroll, while the other entity Dubai Investments, the leading, diversified investment conglomerate listed on Dubai Financial Market, has the remaining 30%.
The new plant is expected to go onstream by the third quarter of 2017, said a statement from Emiroll.
Once operational, Emiroll will manufacture 65,000 tonnes of aluminium coils per annum, including 45,000 tonnes of cold-rolled and 20,000 tonnes of hot-rolled aluminium for applications in downstream industries, such as automotive body parts, roller-shutters, garage castings, container trays, cans and aerosols, it stated.
Dubal Holding CEO Abdulnasser Bin Kalban said: "We have kept our focus firmly on a diverse growth strategy, and this joint venture with Dubai Investments and Mars aims at creating new demand for aluminium in the rapidly growing downstream industries across the region."
DI managing director and chief executive, Khalid Bin Kalban said: "The foray into the aluminium rolling field is part of our strategy to support the development of the non-hydrocarbon sector in the UAE and boost the manufacturing sector’s contribution to the country’s gross domestic product (GDP)."
Emiroll, he stated, aims to capitalise on the unmatched market demand for aluminium in downstream industries across the Middle East and is expected to play a major role in this direction.
"We already have a strong portfolio in the manufacturing sector, and the launch of Emiroll will further diversify its product base – particularly in the construction materials and related industries," stated Kalban.
As part of the joint venture, the Sinagpore-based Mars has also committed 30% product off-take from Emiroll for application and use across its Middle East operations.
The remaining products from Emiroll are expected to be supplied for domestic consumption, as also in other Middle Eastern countries and Europe
- Qatar to release construction code update in 2018
- Egypt's Arab Contractors to build $439m projects
- Saudi-Canadian PPP to build $133m hospital
- India's L&T awarded 400kV Oman Electricity deal
- Abu Dhabi: Emiroll to build $120m aluminium plant
- FRHI to open four new hotels in ME over next year
- Top 10 GCC job trends and forecasts for 2016
- Kuwait's Action Hotels open second Australia hotel
- Sharjah approves five pedestrian bridges' designs
- UAE's Empower cancels IPO plans amidst oil turmoil