ADNOC And EGA Finalise $500 Million Agreement To Localise Key Raw Material For Aluminium Production

ADNOC and Emirates Global Aluminium (EGA) have entered a five-year agreement to supply up to 1.5 million tonnes of calcined petroleum coke, essential for aluminium production. This deal, valued at $500 million (AED1.84 billion), was signed during the "Make it in the Emirates" event in Abu Dhabi, highlighting ADNOC's dedication to boosting the UAE's industrial sector and enhancing local supply chains.

The agreement ensures that ADNOC Refining will meet at least 30% of EGA’s calcined petcoke needs from the Ruwais Refinery over five years. This move aims to bolster the UAE's position as a global aluminium supplier by reducing import dependence and enhancing local industrial capabilities.

This collaboration supports ADNOC’s In-Country Value (ICV) Programme, which promotes economic diversification by supplying critical materials to advanced industries in the UAE. The signing was witnessed by Dr. Sultan Ahmed Al Jaber, Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO, along with Abdulla Kalban, Managing Director of EGA.

Khaled Salmeen, ADNOC Downstream CEO, and Abdulnasser bin Kalban, CEO of EGA, formalised the agreement. Salmeen remarked that this strategic partnership with EGA demonstrates ADNOC’s commitment to advancing the 'Make it in the Emirates' initiative by strengthening domestic supply chains and reducing reliance on imports.

EGA is recognised as the world’s largest producer of premium aluminium and plays a leading role in the UAE's industrial diversification. Its products are among the largest made-in-the-UAE exports after energy. The agreement with ADNOC is expected to drive further economic growth and development within the UAE's aluminium sector.

Abdulnasser bin Kalban highlighted EGA's longstanding role in industrialisation and economic diversification. He stated that securing a significant portion of key raw materials locally through this agreement enhances EGA's economic impact within the UAE.

Significant Contributions

The 1.5 million tonnes of calcined petcoke supplied under this agreement will enable EGA to produce approximately 3.75 million metric tonnes of aluminium over five years—equivalent to Germany's annual consumption. In 2024 alone, EGA contributed $6.4 billion (AED23.49 billion) directly, indirectly, and induced into the local economy, representing 1.3% of the UAE’s GDP while supporting over 52,000 jobs.

With inputs from WAM