THE Ma’aden-Alcoa aluminium joint venture has signed a contract worth SR5.6 billion ($1.4 billion) with Hyundai Engineering and Construction Company to construct its alumina refinery – the first in the region – at Ras Al Khair in Saudi Arabia’s Eastern Province.

The contract includes completing detailed engineering, procurement, construction, pre-commissioning, commissioning assistance, start-up assistance and training services. The alumina refinery forms part of the fully integrated aluminium project under construction by project partners Ma’aden and Alcoa. The project also includes a bauxite mine at Al Ba’itha and an aluminium smelter and rolling mill, both at Ras Al Khair. The refinery will have an annual production capacity of 1.8 million tonnes of smelter-grade alumina and is scheduled for completion by the end of 2014.

“The signing of this contract represents another milestone in the development of the world’s largest, lowest-cost, fully integrated aluminium complex that will help make Saudi Arabia a major upstream player in the global aluminium industry,” said Khalid Al Mudaifer, Ma’aden president and CEO. “The aluminium complex will produce a wide range of products suitable for further downstream manufacturing such as food-grade can sheet, automotive heat-treated and non-heat-treated sheet, building and construction sheet and foil stock sheet,” he added.

Abdullah Busfar, chairman of the board of Ma’aden Bauxite and Alumina Company said: “The construction of the refinery is expected to benefit from the same level of operational competitiveness and project management capability seen in the development of the smelter and rolling mill. With the key infrastructure facilities in place, we are on track to build an industry that will enable the development of downstream industries.”

Ken Wisnoski, president Alcoa Primary Products Growth, indicated that refinery will be equipped with the most advanced technologies available.