The largest industrial company in the United Arab Emirates outside oil and gas has signed an agreement with Chinese pre-baked anode producer Sunstone to progress the development of the facility.

The new anode manufacturing facility in Khalifa Economic Zone Abu Dhabi would have a capacity of 300,000 tonnes of anodes per year.

It would replace most of EGA’s imports and potentially make the UAE only the second country in the world after China to export anodes globally.

EGA produces 1.35 million tonnes of anodes every year at its own plants in Jebel Ali and Al Taweelah, and the remainder of the company’s need is currently imported.

Abdulnasser Bin Kalban, CEO of EGA, said: “This project will enable EGA to further increase our contribution to Make it in the Emirates, by localising the manufacture of a key raw material for our process here in the UAE as well as potentially supplying other aluminium smelters in the region and beyond.

“In our supply chain, EGA already spends more than AED 8 billion each year on goods and services locally, which is around 40% of our total global spend.

“Our goal is to progressively increase that proportion, to further spur the development of UAE industry.”

EGA and Sunstone have already completed a feasibility study for the project, which the two companies intend to develop in a joint venture with Sunstone owning a 55% shareholding and EGA a 45% shareholding.

Construction of the facility is expected to begin in 2026, with first production in 2028.

Lang Guanghui, Chairman of Sunstone, said: “Establishing Sunstone’s first plant outside China in partnership with EGA marks a pivotal milestone in our global expansion.

“We are confident that this collaboration can set a new benchmark for excellence in anode manufacturing.”

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