(MENAFN - Khaleej Times) A silicon metal smelter will be setup in Abu Dhabi's newest industrial zone KIZAD, which will supply high grade silicon to aluminium smelters in the region. The plant is estimated to cost around Dh638 million.
Khalifa Industrial Zone Abu Dhabi (Kizad) signed a Musataha agreement with Al Braik Investments, during the 17th World Aluminium Conference held in the capital.
The agreement was signed by Khaled Salmeen, executive vice-president of Industrial Zones at ADPC and Shukri Al Braik, chairman of Al Braik Investments, in the presence of Saeed Al Mazrooei, president and CEO of Emirates Aluminium (Emal).
Construction will begin in 2013 and the project will be operational by 2015. The smelter will be built on a plot measuring 316,413 square meters to produce high grade silicon which is wcommonly used in the aluminium industry as an alloying agent which considerably improves the strength of wrought aluminium alloys.
Silicon metal is an integral part of the aluminium production process and will become more prevalent when the casting industries grow in the Gulf region.
Silicon metal is presently imported from a number of global producers. The tonnages currently imported are substantial hence the need for a local producer. The proximity of Khalifa Port, alongside the intricate rail and road transport network, will enable Al Braik Investments to maximise its market presence.
Commenting on the agreement, Khaled Salmeen said the project will create opportunities for a significant number of value added industries through its silicon metal production which results in the production of high grade aluminium alloys.
"We are also confident that Al Braik's business will benefit significantly from the industrial zone's outstanding access to global markets through its proximity to Khalifa port which will allow it to reach its markets with ease and efficiency," Salmeen said.
He said, "the project is also a living proof of the success of Kizad's industrial clustering concept, as it brings together players across various parts of the industrial supply chain to maximize efficiency and reduce costs."
Shukri Al Braik said he is looking to become a steady supplier of key strategic value added materials for the aluminium industry.
Al Braik runs several investments in oil, gas explorations and construction, from related construction services to real estate, hospitality and franchise. Kizad is a 417 sq km industrial zone strategically located between Abu Dhabi and Dubai.
With one of the world's most advanced deepwater seaports and world-class infrastructure, Kizad will benefit from excellent multimodal connectivity via sea, air, road and rail networks to ensure easy accessibility to and from the Industrial Zone.
Phase 1, which is 51 square km with an investment of Dh26.5 billion, is set to open in Q4 2012.