Jul 1 2004
Alcan Inc. announced today the signing of a Memorandum of Understanding with Oman Oil Company (OOC) and with the Abu Dhabi Water and Electricity Authority (ADWEA) for a 20 percent equity interest in the development of a proposed 330-kilotonne per annum aluminum smelter project in Sohar, Oman.
"This project offers Alcan an excellent opportunity to enhance our position as the leading low-cost aluminum producer and create further value for our shareholders," said Cynthia Carroll, President and CEO of the Alcan Primary Metal Group. "In addition, the project is based on Alcan’s most advanced version of its highly efficient Pechiney AP30 technology."
Alcan also has the option of acquiring up to 60 percent of a planned second potline for an additional 330 kilotonnes per annum of aluminum. The agreement provides that Alcan would license its Pechiney AP30 smelter technology and take a leading role in the construction and operation of the smelter.
The project will have long-term access to a dedicated power supply on competitive terms and in a quantity sufficient to meet the energy requirements of Phases I and II of the smelter project.
Subject to successful completion of the project agreements and financing arrangements, construction is expected to commence in the second half of 2005 and result in first metal production by the end of 2007.
For more information on aluminium, click here.