Guinea Alumina Corporation (GAC) is to undertake a new project to export bauxite and alumina, combining the production and processing of ore in Guinea with the development of related infrastructure.
The project includes:
- The development of a bauxite mine at Sangarédi, in the Boké region, with reserves of over 1.3 billion tons;
- The construction of a multi-user port terminal and commercial dock in the port of Kamsar, as well as the improvement of the existing railway network linking the sites of the mine and refinery in the port;
- The construction of an alumina refinery with a production capacity of 2.4 million tons per year.
The first commercial production of bauxite is expected in 2017.
Guinea is the world’s top supplier of bauxite, the raw material used in aluminium production – Reuters
The project is to be developed by Emirates Global Alumina (EGA), with Mubadala Development (Abu Dhabi) and Investment Corporation (Dubai).
Following the signing, ratification and promulgation of the mining agreement and the signing of the addendum 2, the scope of the GAC project was ratified by the Guinean National Assembly in June 2014.
The project will be developed in two phases.
The first phase, the cost of which is estimated at $1 billion, includes:
- The development of a bauxite mine at Sangarédi, in the Boké region;
- The construction of a multi-user port terminal and commercial dock in the port of Kamsar;
- Improvement of the existing rail network linking the sites of the mine and refinery in the port of Kamsar;
- The expansion of the navigation channel for the export of bauxite by larger vessels.
The second phase, the cost of which is estimated at $ 4 billion, includes:
- The construction of an alumina refinery with a capacity of 2.4 million tonnes per year (with production expected to begin in 2022);
- The expansion of the bauxite mine and the existing rail network;
- The construction of a new port terminal and an additional berth.
Guinean boom in top-quality bauxite is set to boost economy – Bloomberg
The project has the capacity to offer strong support for the development of the Guinean mining sector. It will create 14,000 direct and indirect jobs and contribute to the growth of the country’s GDP.
The project will also generate significant economic and social benefits, including contributing to the training of a new generation of engineers and technicians in Guinea.
The project will assist in local capacity building and skills transfer, and provide Guinean employees with training and skills through projects in the UAE at EGA’s sites, for further redeployment in Guinea.
Today, we have strengthened our partnership with the Republic of Guinea. This new agreement will generate significant benefits for both parties – Abdulla Kalban, Chairman of GAC, CEO of DUBAL and designated CEO of EGA (November 2013)