'Mumtalakat aluminium plans not price-driven'
Mahmood Al Kooheji, CEO of the Bahraini sovereign wealth fund, tells CW about the scope for aluminium as a long-term investment option
Recent developments within Bahrain's aluminium sector, spurred by investment from sovereign wealth fund Mumtalakat, are not in response to global commodity prices.
Mumtalakat confirmed in November that it has entered a 49% joint venture (JV) with Indian aluminium firm, Synergies Castings, which will establish a facility in the Kingdom.
Reports during the month also stated that the wealth fund is keen to enter a similar arrangement with Spanish materials manufacturer, Aleastur.
Mahmood Al Kooheji, chief executive officer of Mumtalakat, told Construction Week that while no details about the latter JV can be revealed just yet, he is optimistic about working with Synergies.
"With regards to Aleastur, we can confirm that we are in discussions but cannot comment any further at this stage," he said.
"Aluminium is a very important sector to Bahrain and to Mumtalakat and it is an area of long term growth.
"The joint venture with Synergies is not a response to a movement in commodity prices, but a longer term investment," he added.
Mumtalakat's JV with Synergies stipulates the development of an aluminium casting and speciality alloy wheel manufacturing facility in Bahrain.
The project will be situated at the upcoming molten metal park, being developed adjacent to Aluminium Bahrain (Alba), which is a combined initiative between Mumtalakat and the Bahrain Economic Development Board.
The facility will offer comprehensive design, engineering, advanced simulation, product development and manufacturing capabilities; with an annual production capacity of approximately 25,000 metric tonnes.
CW's full interview with Mahmood Al Kooheji will appear in its upcoming issue's news analysis section.