EGA partners with DP World after Abu Dhabi Ports deal
Emirates Global Aluminium has undertaken partnerships with the UAE’s major port operators to streamline the export of its aluminium from the country.
In the latest move, EGA has signed a deal with DP World for the lease of a storage area that is the largest used by a company at Jebel Ali Port.
The deal, a long-term service agreement, extends the partnership between the two companies, and facilitates the storage and transportation of aluminium manufactured by EGA.
EGA’s new yard at the port is over 175,000 square metres and has storage capacity of around 60,000 tonnes.
Sultan Bin Sulayem, chairman and chief executive officer of DP World, said the deal was an opportunity for the two companies to work together to support Dubai and the UAE’s economy.
“This new agreement opens the door to an enhanced level of collaboration … It’s another step towards strengthening our nation’s diversifying economic base,” he said in a statement.
Meanwhile, EGA said it will benefit from DP World’s range of services catering to its products that require special handling.
“EGA and DP World are two champions of economic diversification in the UAE, and that makes our work together important not just for our companies but also for our nation,” said Abdullah Kalban, managing director and chief executive officer of EGA.
In April this year, EGA and Abu Dhabi Ports launched the new container freight station for the company at Port Khalifa.
The new terminal will be used to load metal into containers for transfer onto ships for export. It has been purpose built by Abu Dhabi Ports close to EGA’s Al Taweelah site to reduce the trucking distance for each consignment by approximately 17 kilometres.
While Jebel Ali Port will continue to be a major export hub for the group, EGA is also planning to use Port Khalifa as its primary import route for raw materials.
Abu Dhabi Ports will fund and complete dredging and widening works to the Khalifa Port approach channel and basin including EGA’s berth.
The dredging will deepen the channel to 18.5 metres and basin to 18.0 metres basis zero tide.
The port will become the first in the Arabian Gulf capable of directly handling the Very Large Bulk Carriers (VLBC) and Very Large Ore Carriers (VLOR) that transport EGA’s raw and finished materials.
At present, the closest deep water port with such ability is SOHAR Port in Oman, where the much larger Valemax (or Chinamax) VLOC ships are a weekly sight.