The Gulf Aluminium Council (GAC), that represent, promote and protect the interests of the aluminium industry within the region has been formally launched with an official headquarters in Dubai, reported the official news agency WAM.
The Board of the GAC comprises Chief Executive Officers of the six founding member companies, five of which have established smelters in the region, namely: Aluminium Bahrain (“Alba”), Dubai Aluminium Company (“DUBAL”), Emirates Aluminium (“EMAL”), Qatar Aluminium (“Qatalum”), and Sohar Aluminium (“Sohar”), in Oman. The sixth member is Saudi Mining Company (“Ma’aden”), which has announced plans to develop a fully integrated complex in Saudi Arabia.
Collectively, the operational smelters at Alba, DUBAL and Sohar produced more than 2 million metric tonnes of primary aluminium in 2009 equating to 5.6 per cent of the global market. Following the successful start-up EMAL and Qatalum, both of which produced their first cast metal in December last year, it is expected that the total production by GAC members will exceed 3 million metric tonnes in 2010.
Ultimately, the region’s production volumes could be doubled to 6 million metric tonnes per annum in the future, the exact timing being dependent the impact of market influences on the planned expansions of production capacity at the newcomer smelters (specifically Sohar and EMAL) and the commissioning date of Ma’aden (currently anticipated in 2013).
Already, the Gulf region has the acknowledged potential to become a major producer in the global aluminium industry. This potential is already being realised through the above-mentioned growth in share of annual production, with the additional capacity coming on stream being well placed to meet increased demand for the metal worldwide.
Moreover, by being equipped with new-generation technologies and adhering to the most stringent environmental protection standards, the smelters in the Gulf region are considered to be among the most energy-efficient and environment-friendly smelters in the world.
The rapid infrastructural development taking place in the GCC countries is also expected to raise the level of aluminium product usage in the region to new heights, a factor that has spawned much discussion on the development of the downstream aluminium sector within the GAC member countries.
According to Abdulla J M Kalban, President ‘&’ CEO of DUBAL; and Board-elected Chairman of GAC the council’s main objectives will be to support the successful growth of the primary aluminium industry in the GCC by enhancing the working environment within the industry through the adoption of internationally-accepted and benchmarked safer work practices; reinforcing the regional industry players’ commitment to protecting the environment and safeguarding the health and well-being of communities; and developing a talent pool for the aluminium industry in the Gulf. Marketing and pricing aluminium fall outside the council’s scope.
“Most importantly, the council provides a forum to develop strategies for our common issues and concerns; and to share best practises so as to improve the efficiency of the industry, thereby contributing to its sustainable development,” he said and added, “Through the council, the members will continually explore opportunities for synergy between our operations such as logistics and transportation that will further improve our international competitiveness. The continued expansion of the aluminium industry in the region will also contribute to the development of National human resources, resulting in accelerated socio-economic development.” He also announced the appointment of Mahmood Daylami as
General Secretary: GAC, who has developed and presented a business plan; and will gather a team to lead the council’s future activities which may include expanding the council’s membership to embrace the full spectrum of the aluminium industry in the region (primary production and end-user product manufacture).