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AL CIRCLE

ADNOC & EGA sign $500 M petcoke supply deal, a key raw material in aluminium production

EDITED BY : 3MINS READ

ADNOC and Emirates Global Aluminium (EGA) have inked a landmark five-year supply deal worth $500 million (AED 1.84 billion), securing up to 1.5 million tonnes of calcined petroleum coke (petcoke), a crucial ingredient in aluminium production.

ADNOC & EGA sign $500 M petcoke supply deal, a key raw material in aluminium production

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Announced at the high-profile 'Make it in the Emirates' event in Abu Dhabi, the agreement highlights ADNOC's drive to power the UAE's industrial future and strengthen homegrown supply chains. This strategic partnership not only fuels EGA's aluminium operations but also reinforces the nation's vision of becoming a global hub for sustainable, value-added manufacturing.

Under the new agreement, ADNOC Refining will meet at least 30 per cent of EGA's calcined petcoke needs directly from its Ruwais Refinery over the next five years. This move marks a significant step toward reducing the UAE's dependence on imported raw materials, while boosting local industrial capabilities.

Khaled Salmeen, ADNOC Downstream CEO, said, "This strategic agreement with EGA exemplifies ADNOC's commitment to driving the 'Make it in the Emirates' initiative and the UAE's industrial base. By supplying this critical raw material for aluminium production from our Ruwais Refinery, we are strengthening domestic supply chains, reducing reliance on imports and enabling growth in one of the nation's most vital industrial sectors. Through our ICV Program, we will continue to create more opportunities to enhance local manufacturing and industrial growth."

By supplying a critical input for aluminium production, the partnership enhances the UAE's position as a global aluminium powerhouse. It also aligns with ADNOC's In-Country Value (ICV) program, driving economic diversification and delivering essential materials to fuel the nation's growing advanced manufacturing sector.

The agreement was signed in the presence of His Excellency Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO, along with Abdulla Kalban, Managing Director of EGA. The signing was carried out by Khaled Salmeen, CEO of ADNOC Downstream, and Abdulnasser Bin Kalban, CEO of EGA, marking a key milestone in the collaboration between two of the UAE's industrial giants.

Abdulnasser Bin Kalban, CEO of EGA, added, "EGA has been a pioneer of industrialisation and economic diversification for decades, and today we are a champion of 'Make it in the Emirates' through our local procurement, metal supply to UAE industry and our record Emiratization. This agreement with ADNOC enables us to secure a significant proportion of a key raw material locally, further increasing our economic impact in the UAE. We look forward to continuing our longstanding partnership with ADNOC."

As the world's leading producer of premium aluminium, EGA remains at the forefront of the UAE's industrial diversification, with its products representing the nation's largest export after energy. This strategic agreement with ADNOC will be pivotal in fuelling ongoing economic growth and advancing the development of the UAE's aluminium sector, reinforcing its position on the global stage.

The 1.5 million tonnes of calcined petcoke secured through the agreement will empower EGA to produce approximately 3.75 million tonnes of aluminium over five years—roughly matching Germany's annual aluminium consumption. In 2024 alone, EGA's direct, indirect, and induced contributions to the UAE economy totalled an impressive $6.4 billion (AED 23.49 billion), representing 1.3 per cent of the nation's GDP and supporting over 52,000 jobs.

Image Source: ADNOC

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EDITED BY : 3MINS READ

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