EGA (Emirates Global Aluminium), the UAE's aluminum producer, recorded a 63 percent increase in earnings before interest to Dh4.1 billion for 2020.

Despite the disruption caused by COVID-19, the targeted benefit was achieved by controlling costs and launching new "project ramp-ups." In addition to that, in the beginning, in the second half of 2020, the demand began to recover.

EGA is the world's third-largest producer of primary aluminum after China, with a sales record of 2.52 million tons of cast metal (2.60 million tons in 2019).

“Based on the improving global economic outlook and increasing optimism about the rollout of COVID-19 vaccine, the recovery has continued into 2021,” said Abdulnasser Bin Kalban, CEO. For the entire year of 2021, the expected benchmark of aluminum prices might hover up to $2,000 (per ton).

Low Demand at Home

Representing 10% of total sales, EGA delivered 252,000 tons as against 294,000 tons a year previously within the UAE.

Al Taweelah alumina refinery produced 1.92 million tons of alumina, just a little less of its 2 million-ton annual output. Every month of the fourth quarter, production was at or above nameplate capacity.

From Dh4.1 billion in 2019, cash produced from operations increased by 35% to Dh5.5 billion. Revenues dropped 9% to Dh18.7 billion from Dh20.5 billion, because of lower world aluminum prices and decreased demand for value-added goods.

“In decades, EGA achieved a dramatically enhanced financial result in the most difficult year for the global aluminum industry." The CEO affirms.