Qatalum plant to be launched tomorrow

Qatalum is positioning Qatar at the forefront of the global aluminium industry with among the lowest operating costs in the business and strategic market access. Qatalum 's product Casthouse, the largest of its kind in the world, will have an output of 585,000 tonnes of premium-quality aluminium products per annum once fully operational.

" Qatalum was established as a long-term investment Qatar in realisation of the strategy set by the Emir for the optimal utilisation of the country's natural resources," said Abdulla Salatt, Chairman on the Qatalum Board of Directors and Senior Advisor to the Deputy Premier, Minister of Energy and Industry. "Our competitive advantages in the global aluminium industry will allow us to withstand market conditions that might put other producers out of business. Many major industries depend on a steady supply of aluminium and we are confident that Qatalum is leading an industry that will prove very profitable for the country in the long term."

The Qatalum plant is expected to be fully operational in 2010, with a design capacity to produce 585,000 tonnes of aluminium products every year. The plant's main products will be extrusion ingots and foundry alloys, although the Casthouse will also be capable of producing standard primary ingots. These value-added aluminium products can be used in an unlimited variety of manufacturing applications and products in building and construction, transportation, general engineering, household durables, leisure and more. Most of these products are also fully recyclable and their aluminium content can be reused endlessly.

Although aluminium producers in Europe and the US had to close their smelter operations due to high power costs and market downturn, Qatalum has been able to deliver results on time, within budget, and at the highest environmental and safety standards. Qatar's strong industrial infrastructure and largest proven reserves of natural gas gives Qatalum an edge in the international market by ensuring competitive long-term energy supplies. Qatar Petroleum is supplying approximately 200 million standard cubic feet of natural gas per day to Qatalum power plant, and this energy supply is transformed to 1350MW of electricity in the state of the art combined cycle power plant.

As a testament to the company's market potential, Qatalum made its first shipment of aluminium foundry alloys to India on 18 December 2009. The project's first extrusion ingot line has been in operation from the beginning of January 2010, and the remaining production lines will be completed and ramped up by Qatalum Operations in the coming months. New cells will come on-line throughout 2010, reaching full aluminium production capacity of 585,000 tonnes when all 704 cells are in operation during quarter of 2010.

Qatalum is strategically positioned to supply markets in Asia and Europe, in addition to serving regional demand from the GCC.