Amid shifting trade rules, supply chain hiccups, and unpredictable premiums, Emirates Global Aluminium (EGA) held its ground in the first half of 2025. The company not only pushed its growth plans forward but also boosted recycling and smelting capacity, while moving ahead with plans to build the first new US aluminium smelter in over 40 years.
Image source: EGA
EGA, saw its revenue rise to AED 15.08 billion (USD 4.11 billion) in the first half of the year, up nearly 8 per cent from AED 13.98 billion (USD 3.81 billion) in the same period of 2024. Yet higher revenues masked weaker profitability.
Underlying EBITDA slipped to AED 3.82 billion (USD 1.04 billion), down from AED 4.20 billion (USD 1.14 billion) a year earlier. Net profit also declined, dropping to AED 1.63 billion (USD 445 million) from AED 1.84 billion (USD 500 million).
Cash generated from operations fell to AED 2.63 billion (USD 715 million), compared with AED 3.34 billion (USD 909 million) the year before.
EBITDA margins reflected the squeeze: aluminium segment margins fell from 27.5 per cent to 22.8 per cent. Nevertheless, EGA continued to outperform peers, maintaining what it called “industry-leading” profitability. Financial leverage also improved, with net debt to EBITDA reduced from 1.6x to 1.4x.
Operational output showed mixed results. Alumina production edged down to 1.14 million tonnes from 1.22 million tonnes, as the company shifted away from Guinean bauxite.
Primary hot metal production held steady at 1.34 million tonnes, while cast metal production ticked up to 1.41 million tonnes from 1.37 million tonnes.
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Guinea expropriation and supply costs
Behind these pressures lies Guinea. The government in Conakry revoked the mining licence of EGA’s Guinea Alumina Corporation (GAC), declaring termination of its basic agreement and effectively expropriating the company’s investment. Bauxite exports from GAC and CBG were suspended throughout the first half of 2025.
EGA responded by releasing most GAC employees, offering compensation beyond local requirements, and moving to protect its legal rights over assets still under government control.
EGA’s Chief Executive Officer Abdulnasser Bin Kalban said, “We are deeply disappointed that the Guinean Government and entities under its control have chosen to violate fundamental legal principles to the detriment of investor confidence, governance, transparency, and long-term national interest.”
Aluminium prices and volatility
On the London Metal Exchange, the average realised price rose to $2,538 per tonne in the first half of 2025, compared with $2,303 a year earlier, though volatility was amplified by trade uncertainty and a weaker US dollar.
Regional premiums highlighted the turbulence: Japan’s MJP index briefly climbed above USD 220 per tonne before sliding to USD 90 by June, while Europe’s duty-paid premium fell from USD 360 to below USD 190.
In the US, a tariff increase on aluminium imports to 50 per cent drove the Midwest duty-paid premium from under USD 500 to more than USD 1,500 per tonne by July. Alumina markets showed a similar pattern, with prices rising early in the year on supply disruptions in Australia, India, Jamaica, and Brazil, before easing as new capacity was added in China, India, and Indonesia.
EGA’s Chief Financial Officer Pål Kildemo said, “The volatility in aluminium prices is expected to continue in the second half of 2025 impacted by evolving trade policies and trade tensions. Meanwhile, the global balance for aluminium is expected to be a marginal deficit in 2025. As for alumina markets, prices are expected to continue trending lower as new capacities continue to come online in Asia.”
Premium and green aluminium role
Despite higher supply costs, EGA kept its focus on the market, lifting cast metal production to 1.41 million tonnes in the first half of 2025, a slight increase from last year. Contributions came from EGA Leichtmetall with 10,000 tonnes and EGA Spectro Alloys with 33,000 tonnes.
Sales reached 1.37 million tonnes across more than 50 countries, up from 1.31 million tonnes a year earlier. Premium products continued to dominate, making up 84 percent of total sales compared with 82 percent in 2024. Stronger demand for billets, slabs and purity products offset weaker appetite for foundry metal in the auto sector.
EGA’s low-carbon portfolio was another bright spot. Sales of its CelestiAL solar aluminium rose to 52,000 tonnes, including 19,000 tonnes of recycled-content CelestiAL-R, compared with 44,000 tonnes last year. The company also struck a deal with Hyundai Mobis to supply up to 15,000 tonnes annually by 2026.
Recycling saw the most dramatic jump. Under the RevivAL brand, sales surged to 41,000 tonnes, up from just 2,000 tonnes in the first half of 2024, underscoring EGA’s rapid pivot toward greener aluminium.
Diversifying bauxite sources
The Al Taweelah alumina refinery produced 1.14 million tonnes, down from 1.22 million tonnes, as it adapted to non-Guinean bauxite. EGA made modifications to process ore from alternative suppliers. Australia remained the main source, but in June the company signed an agreement with the Ghana Integrated Aluminium Development Corporation to explore long-term offtake arrangements and collaborate on rail and port infrastructure to support Ghana’s production growth.
Growth and technology bets
Despite setbacks, EGA pushed ahead with its long-term strategy. During the first half of 2025, the company advanced plans for a new smelter in Oklahoma, US. Designed to produce between 600,000 and 750,000 tonnes annually, the facility would nearly double US capacity. Construction is expected to start after a bankable feasibility study, with first metal targeted by decade’s end. State-level incentives have been secured, and environmental, permitting and technical studies are under way.
In parallel, EGA completed construction of a pilot unit for its next-generation EX smelting technology at Al Taweelah and began production. The system promises higher output with lower energy use and emissions, integrating Industry 4.0 and AI-driven analytics. The technology is being readied for industrial-scale deployment in Oklahoma.
Recycling capacity is also expanding. In Minnesota, EGA Spectro Alloys completed a 55,000-tonne expansion in July, raising total capacity to 165,000 tonnes with full ramp-up expected in early 2026.
In the UAE, construction of the country’s largest aluminium recycling facility at Al Taweelah reached 72 percent completion, with commissioning scheduled for Q1 2026. Once online, it will produce 170,000 tonnes of secondary billet annually.
EGA also signed an MoU with RTX and Tawazun Council to prepare for a potential gallium production facility in Al Taweelah, with a feasibility study under way.
Digitalisation and localisation
Digital transformation remained a focus. In the first half of 2025, EGA’s Industry 4.0 programme generated AED 48 million (USD 13 million) in impact across 22 new use cases.
Since 2021, digitalisation has delivered AED 440 million (USD 120 million) in value. The company also signed an agreement with the UAE Ministry of Industry and Advanced Technology to help local SMEs embrace digital tools. Earlier in the year, the World Economic Forum named EGA an Industry 4.0 Global Lighthouse — the first aluminium company worldwide to receive the designation.
In line with the UAE’s Operation 300bn industrial growth strategy, EGA sold 153,000 tonnes of cast metal locally, up from 149,000 tonnes last year. It also signed a joint development deal with Sunstone to build a 300,000-tonne-per-year anode plant in Abu Dhabi and a USD 500 million agreement with ADNOC to localise 30 per cent of calcined petroleum coke needs over five years.
Balancing growth and discipline
EGA ended the half with net debt reduced to AED 14.7 billion (USD 4.0 billion), down from AED 16.5 billion (USD 4.5 billion), supported by scheduled repayments of AED 1.4 billion (USD 373 million).
On safety, EGA recorded a Total Recordable Injury Frequency Rate of 1.71 per million hours worked, with three Lost Time Injuries, all of which fully recovered.
After accounting for the Guinea write-down, the company reported a net loss of AED 890 million (USD 242 million). But underlying results still showed resilience: revenues climbed, sales of premium and low-carbon aluminium grew, and new growth projects advanced despite one of the industry’s most challenging supply environments in years.
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