Ghana is looking for domestic or international partners to support the restoration and upgrading the state-owned Volta Aluminum Company’s (VALCO) smelter, to reach its production capacity of 300,000 tonnes per year by 2025.
The Ghana Integrated Aluminum Development Corporation (GIADEC) has conveyed the message that interested parties could partner on a five-year, US$10 billion recovery plan for VALCO and the wider mining sector in the country.
The first phase of the upgrade would increase the production of to180,000 tonnes per year, while a second phase would reach 300,000 tonnes per year. However, VALCO has a nameplate capacity of 200,000 tonnes per year, but currently, it produces only 60,000 tonnes per year as three out of five potlines are offline.
Michel Ansakh, CEO, GIADEC said: “An investment agreement with strategic partners can be signed off on by the end of 2020, and that VALCO would be listed on the London Stock Exchange to draw interest.”
GIADEC has confronted towards starting of three new bauxite mines and add two refineries to the existing VALCO smelter, to create huge domestic job opportunities and create an integrated aluminium industry. Although the country’s industry analysts are taking this much more as a political drive, as the General elections are knocking at the door.
In January’20, VALCO smelter was shut down temporarily due to a dispute over $30 million unpaid debt to the domestic power provider, GRIDCO.
According to GIADEC's website, over 40 companies - both Ghanaian and international - have expressed interest in bidding to be selected to develop various aspects of the aluminium value chain.
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