Emirates Ship Investment Company (Eships) has won a contract to transport a million tonnes of alumina annually to a $5.7 billion (Dh20.9bn) aluminium smelter being built in Abu Dhabi, according to a statement released yesterday.
The plant – the largest diversification project in the UAE and the world's largest single-site aluminium smelter – is being developed by Emirates Aluminium (Emal). The three-year contract was awarded after a competitive tender involving more than 15 shipping companies and deliveries will begin next year.
The smelter at Al Taweelah is scheduled to produce its first high-grade semi-finished aluminium products in April 2010 and will become fully operational in January 2011.
Eships will transport the alumina in lots of 60,000 tonnes on Panamax ships – the largest vessels able to pass through the Panama Canal. The ships will initially unload at Dubai's Jebel Ali Port but will switch to Khalifa Port in Taweelah when it is ready.
"This contract is an important step in the growth strategy for Eships," said Scott Jones, CEO of the company, which is jointly owned by the Abu Dhabi Government's investment arm Invest AD and development and investment company Mubadala.
"It gives us another opportunity to use our dry bulk shipping expertise to provide a major UAE company with first-class service, while providing us with a springboard to grow our fleet," he said.
Keep up with the latest business news from the region with the Emirates Business 24|7 daily newsletter. To subscribe to the newsletter, please click here.