Emirates Global Aluminium’s (EGA) Guinea Alumina Corporation secured $750 million loan for Guinea’s largest-ever greenfield mining project financing. The loan enables EGA to develop its bauxite-mining project while benefiting the economy of the West African nation.
A variety of actors – including development finance institutions, export credit agencies and international banks – participated in the loan that has a tenor of 12 to 14 years. The ground-breaking project allows Guinea – whose mineral wealth makes it potentially one of Africa’s richest countries – to raise its financial profile in international markets improving country’s access to foreign investment to boost the local economy.
Abdulla Kalban, Managing Director and Chief Executive Officer of EGA and Chairman of GAC, said: “The partnership we have formed with GAC’s lenders secures the long-term success of our Guinea project and for EGA this project financing is in line with our capital allocation strategy. We are committed to completing and then operating the GAC project to high standards, contributing to improving sustainability performance in Guinea whilst helping to grow the economy.”
The loan supports the construction of a bauxite mine and related transport infrastructure, including a rail system and a port. The planned mine has some of the world’s best quality resources of bauxite. The project is part of EGA’s strategy to integrate in the aluminium value chain. In the second stage of the project, the company plans to build an alumina refinery.
EGA – one of the largest aluminium producers in the Middle East – operates smelters in Abu Dhabi and Dubai. The company recently started production at the UAE’s first alumina refinery near its ASI-certified Al Taweelah aluminium smelter.