The largest industrial company in the United Arab Emirates outside oil and gas, Emirates Global Aluminium (EGA), has signed a three-year contract with Vietnamese state-owned firm Vinacomin, extending the supply of Vietnamese alumina to the UAE until 2023.
As part of the agreement, EGA will continue to buy up to 300,000 tonnes of alumina from Vinacomin each year. The deal extends an agreement that EGA and Vinacomin signed in late 2017, which was due to expire at the end of this year.
EGA’s Al Taweelah alumina refinery is expected to reach sustained production at nameplate capacity during H1 2020, with production sufficient to meet approximately 40% of EGA’s requirements. The company will continue to import alumina to meet its remaining needs.
The agreement follows a visit by a senior commercial delegation to Vietnam in October, led by the UAE Minister of Economy, HE Sultan bin Saeed Al Mansouri. Alumina is among the most significant components of UAE-Vietnam trade.
Commenting on the agreement, the chief executive officer of EGA, Abdulnasser Bin Kalban, said: “We are looking forward to continuing to receive Vietnamese alumina for the years ahead, as well as exploring ways we can work together more broadly such as improving port infrastructure in Vietnam and exploring other upstream opportunities.”
The president and CEO of Vinacom, Dang Thanh Hai, said: “This agreement is also in line with the directives of the Ministry of Industry and Trade of Vietnam to contribute to further strengthening the trading relationship with the UAE, our country’s most important trading partner in the Middle East and North Africa.”
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