One of the largest aluminum producers in the world, Emirates Global Aluminum (EGA) reported a 59 per cent rise in net profit for the year 2017, thanks to rising prices of metal as well as strong production. The United Arab Emirates based producer stated a net income of 3.3 billion dirham ($898.3 million) last year, from a revenue of 25.5 billion dirham in the preceding year, representing an increase of 20 per cent over the 2016 sales.
The company said in a statement that some of the factors that contributed to EGA’s strong performance amid favorable conditions in the global aluminum market were record cast metal production of 2.6 million tons from 2.5 million tons in 2016 and a continuing focus on the control of costs and the efficiency of operations.
Value added products traded to 336 clients in 54 countries, attracted significantly greater premiums while the prices of LME rose from 87,000 tons to 2.1 million tons in 2017, representing 82 per cent of total turnover for the year.
Emirates Global Aluminum’s Managing Director and Chief Executive Officer, Abdulla Kalban said that one area of certain success in 2017 came from the development of their own energy efficient smelting technology. He said that all their reduction cells run on EGA technology, which is reducing costs and environmental emissions.
Kalban further noted that his company continues to advance its strategic growth projects by increasing its business platform so as to secure the natural resources it needs to strengthen its successes.
Kalban is optimistic that once the Al-Taweelah alumina refinery in Abu Dhabi and GAC is complete, their bauxite mining project in the Republic of Guinea in West Africa will provide value for decades to come as well as generate additional long term opportunities of growth for Emirates Global Aluminum.
The company released a statement recently indicating that work on the Emirates Global Aluminum’s $3.3 billion Al-Taweelah alumina refinery project is 76 per cent done and the first batch of alumina refinery is anticipated in the course of the first half of 2019.
About 40 per cent of the Emirates Global Aluminum’s requirements will be met by the Al-Taweelah alumina refinery project once it is fully operational.
In the meantime, the $1.4 billion Guinea Alumina Corporation bauxite mine project is 37 per cent done, with first exports of bauxite anticipated during the second half of 2019.