Abu Dhabi – Mubasher: The UAE aluminium producer Emirates Global Aluminium (EGA), along with Mubadala and Dubal Holding, will sign a 25-year deal worth AED 1 billion.
The agreement aims to develop a state-of-the-art power block and a water desalination plant at EGA’s smelter at Jebel Ali in Dubai, state-run news agency WAM reported.
The new facilities will boost power efficiency for EGA’s aluminium smelting, in addition to reducing environmental emissions and natural gas consumption.
“This project creates an attractive opportunity for Mubadala to add to its portfolio of investments in power generation and utilities in the UAE and internationally,” Khaled Al Qubaisi, CEO of Aerospace, Renewables and ICT, Mubadala, commented.
Moreover, Mubadala and Dubal Holding, the holding company for Dubai's stake in EGA and other assets, will set up a joint venture to develop the new facilities.
Owned equally by Mubadala Development Company of Abu Dhabi and Investment Corporation of Dubai, EGA plans to purchase the facility’s output for 25 years following its commissioning.
The joint venture will install a combined cycle power facility at EGA’s Jebel Ali site with a capacity of 600 megawatts of electricity.
Shareholders of the joint venture entity have inked an agreement with German engineering group Siemens to install the UAE’s first combined cycle H-class gas turbine, a leading technology in efficient power generation.
Such projects come along with the UAE’s strategy to enhance sustainable development in the GCC country.
“This is done through ambitious initiatives and sustainable development projects that are highly efficient according to the IPP model. Our project includes a combined cycle power facility and a reverse osmosis water desalination plant that support the objectives of the UAE Vision 2021 and the UAE Centennial 2071,” Saeed Mohammed Al Tayer, vice chairman of Dubal Holding and vice chairman of EGA, said.
