São Paulo – Brazilian mining company Vale do Rio Doce confirmed today (27th) its association with the Dubai Aluminium Company (Dubal) in project Pará Alumina Company (CAP), an alumina refinery currently under construction in the North region of Brazil. The deal was announced nearly two weeks ago, but, according to Vale, it depended on the “meeting of certain conditions.”
Under the agreement, Vale retains a 61% share of the capital of CAP, the Norwegian Hydro Aluminium holds a 20% stake, and Dubal owns 19%. The refinery, which is going to manufacture intermediary material for the aluminium production chain, should enter into operation in late 2012 with an initial production capacity of 1.86 million annual tonnes of alumina, or aluminium oxide, per year. The investment should be US$ 2.2 billion.
The United Arab Emirates-based company informed on its website that it has entered the deal to ensure raw material for supplying its future expansion strategy.
*Translated by Gabriel Pomerancblum
