Refinery at Ma’aden-Alcoa Joint Venture Produces First Alumina from Saudi Bauxite

December 21, 2014

Milestone marks commencement of fully integrated operations from mine to metal at Ma’aden Aluminium

The Saudi Arabian Mining Company (Ma’aden) and lightweight metals leader
Alcoa (NYSE:AA) today announced that the alumina refinery at their joint
venture aluminum complex in Saudi Arabia has successfully produced its
first alumina from Saudi Arabian bauxite. The alumina refinery at Ras Al
Khair is the first ever refinery to be constructed and operated in the

The milestone marks the commencement of the final link in the supply
chain of this fully integrated aluminum facility. The alumina refinery
will refine Saudi Arabian bauxite, supplied from Ma’aden Aluminium’s
mine at Al Ba’itha and transported by 600 km rail to Ras Al Khair. The
alumina from this refinery will feed into the Ma’aden Aluminium Smelter
which produces the aluminum needed for the Ma’aden Aluminium Rolling
Mill. This fully integrated chain delivers operational efficiency and
creates the most competitive aluminum complex in the world.

Once fully operational the refinery will produce 1.8 million mtpy of
alumina. The alumina will be transported by conveyor to the adjacent
smelter to produce 740,000 mtpy of high quality aluminum products for
customers in the Gulf region and in international markets.

“We are building a minerals and metals industry in Saudi Arabia that
maximizes the value of the nation’s mineral resources; contributes to
sustainable economic diversification and shareholder value; provides
high value job opportunities for Saudis and a reliable supply of quality
products to our global customers. This milestone marks a significant
moment for our industry in Saudi Arabia and the broader GCC region,”
said Khalid Mudaifer, President and CEO of Ma’aden.

“As the lowest cost aluminum complex in the world, the Ma’aden Alcoa
joint venture is an important plank of Alcoa’s strategy to create a
globally competitive commodity business,” said Klaus Kleinfeld, Alcoa
Chairman and Chief Executive Officer. “The first alumina milestone is
another demonstration of our disciplined execution as we transform Alcoa
to create sustainable shareholder value.”

About the Ma’aden Alcoa joint venture
In its initial phases,
the joint venture will develop a fully integrated industrial complex
which will become the world’s preeminent primary aluminum, alumina and
aluminum products, with access and proximity to growing world markets.
The complex comprises:

  • A bauxite mine with an initial capacity of 4,000,000 metric tons per
  • An alumina refinery with an initial capacity of 1,800,000 metric tons
    per year
  • An aluminum smelter with an initial capacity of 740,000 metric tons
    per year
  • The rolling mill, with initial capacity of 380,000 metric tons per

About Ma’aden
Ma’aden is a leading mining and metals company
in the Kingdom of Saudi Arabia, with a diverse portfolio of mineral
assets at various stages of development including exploration,
development and production. Ma’aden has a broad commodity focus spanning
gold, phosphate, aluminum, magnesia, low-grade bauxite, industrial
minerals, and is continually assessing opportunities to enter into new
commodities that demonstrate strong long-term fundamentals and
opportunities for growth. Ma’aden’s objective is to become a world class
diversified mining and minerals company, and to enhance overall value
for its shareholders. Its mission is to be a profitable, publicly owned,
international mining company, while maintaining the utmost concern for
human resources, health, safety, environmental and social issues. For
more information please visit.

About Alcoa
A global leader in lightweight metals
technology, engineering and manufacturing, Alcoa innovates
multi-material solutions that advance our world. Our technologies
enhance transportation, from automotive and commercial transport to air
and space travel, and improve industrial and consumer electronics
products. We enable smart buildings, sustainable food and beverage
packaging, high-performance defense vehicles across air, land and sea,
deeper oil and gas drilling and more efficient power generation. We
pioneered the aluminum industry over 125 years ago, and today, our
approximately 62,000 people in 30 countries deliver value-add products
made of titanium, nickel and aluminum, and produce best-in-class
bauxite, alumina and primary aluminum products. For more information,
follow @Alcoa on Twitter at
and follow us on Facebook at

Investor Contact
Kelly Pasterick, 212-836-2674
Media Contacts:
Monica Orbe, 212-836-2632
Sonya Harden Elam, Communications Director, Alcoa GPP, 864-836-2078
Saleh S. Alshubaili, Manager, External Communication and Branding, 966 01 874 9385