Chalco agrees to build alumina plant in Guinea for $1bn
Aluminum Corp of China, the country’s largest State-owned producer of the lightweight metal, has agreed to invest $1-billion in an alumina plant in Guinea to tap local bauxite resources.
Chalco, as the Beijing-based company is known, will set up an entity to develop an 1.2-million-ton-a-year plant in the African country, it said in a filing. The government will get a 5% stake for free or at nominal cost, and be allowed to enlarge that holding at market value to as much as 35%.
Chinese companies – including Chalco’s largest private rival, China Hongqiao Group Co – have been expanding in countries rich in bauxite, the raw material used to make alumina, which is then processed further to aluminum. Over the past decade, Chalco has been developing the Boffa bauxite mine in Guinea, and the new project will be its first overseas alumina plant.
Chinese smelters — which produce more than half of the world’s aluminum — have a sharper focus on overseas expansions as domestic capacity nears a nationwide ceiling imposed by the central government to cut emissions.
The plan for the investment in Guinea still requires approvals from Chalco’s shareholders, as well as the nation’s government, according to the filing.
Chalco’s Hong Kong-listed shares traded higher on Friday, and have more than doubled over the past 12 months. Aluminum has surged 22% in London this year, benefiting producers, as the Middle East war hurt exports from the region.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
As a reticulator, Egoli Gas provides natural gas to homes and businesses via underground pipes.
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
