Qatalum gears up for full output this year

DOHA: QatalumQatalumQatar Aluminum Company

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, the state-of-the-art aluminium smelter being built as a joint venture between Qatar Petroleum (QP) and Hydro of Norway is gearing up towards full production later this year, according to CEO, Jan Arve Haugan.

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's first phase production capacity will amount to 585,000 tonnes per annum of primary aluminium, which will eventually be increased to 1.2 million tonnes per annum, providing significant support for GCC aluminium production.

Updating those present at the MEED 4th Middle East Aluminium Conference on the plant's progress, Haugan said, "2010 is an important year for aluminium production in the Middle East, with two of the biggest smelters in the world - QatalumQatalumQatar Aluminum Company

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 and Emal - preparing to ramp up production."

He said aluminium has had a notably positive economic effect locally, regionally and internationally, as it is used in a wide variety of sectors, such as construction, transport and marine industries.

GCC countries are rich in the energy required to produce aluminium, which also lowers the production cost in the region significantly, he said.

"Over the past ten years, GCC member states have begun implementing long-term strategies that aim to develop the region's aluminium industry, and the region is now well positioned to be one of the world's main aluminium producers," said Haugan.

Entitled "Building a sustainable downstream industry", the Conference, which took place at the Dubai Marina Address Hotel from March 16 to 17, 2010 provided a comprehensive overview of the MENA aluminium production and processing sector and its place in the global market, with focus on building a sustainable downstream sector for the region's industry.

"The QatalumQatalumQatar Aluminum Company

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 development has faced two big waves of challenges since its inception," Haugan said. "First, in a difficult and overheated market situation for all industries, we managed to select a strong team of suppliers to execute our contracts and bring in the best available technologies and solutions. Then we were faced with an opposite market trend, when we were exposed to the financial crisis where the various suppliers and contractors had to control the financial health while at the same time fulfilling the project scope. However, despite all of this, here we are today, getting ready for the ramp up to full production later this year."

He added that QatalumQatalumQatar Aluminum Company

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 has already met many of its initial targets, and first metal was produced on schedule in late 2009. "We have every expectation of being ready for full production in the fall of 2010, and we look forward to the day when we can announce that construction of the project is complete, and it is ready to enter the next phase of its existence - fine-tuning our operations in full production," he said.

He pointed out that the main focus over the next 12 months will be to continue the start-up of the Qatalum Plant in parallel with executing the remaining construction. Besides, the QatalumQatalumQatar Aluminum Company

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 organisation will also be developed in anticipation of the Project team leaving in the second part of the year.

During an interview with Haugan following his presentation at the MEED 4th Aluminium Conference, he said that QatalumQatalumQatar Aluminum Company

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 is keeping a close focus on the cost level and production efficiency versus its dependency on local gas supplies. "It's more a question of productivity than gas supplies. And we are competing with ourselves to be better everyday," he said.