SMELTER DEVELOPMENT – Alcan greenlights $1.7-billion investment in Oman

OMAN - Montreal-based ALCAN INC. has given the green light to construction of a US$1.7-billion aluminum smelter in the city of Sohar. The smelter will use Alcan's AP35 technology, the most advanced, efficient and environmentally friendly process in the world, according to the company.

Alcan is taking a 20% stake in the 350,000-tonnes/year smelter, which is expected to begin production in the third quarter of 2008. Output from this smelter will represent about 2% of Alcan's worldwide production. Partners in the project are OMAN OIL CO. and ABU DHABI WATER & ELECTRICITY AUTHORITY.

The Sohar smelter's initial scope will be based on a single AP35 potline, but with provisions for adding a second pot line in which Alcan has an option to acquire up to 60%. The use of proven AP35 technology represents the first time that it is being used in a newly constructed smelter. To date, AP35 technology has been used in the upgrade of three existing smelters around the world.

For all things Alcan, go to www.Alcan.com.