UAE-based Emirates Global Aluminium (EGA) has signed an agreement with port operator Gulftainer to expand its aluminium exports from the UAE's east coast, bypassing much of the contested strait of Hormuz.
EGA will export 250,000t of aluminium through ports on the east coast in the first year of the agreement, rising to 300,000t in the second year, with potential for further increases in the following years. Gulftainer will further develop its port facilities to accommodate EGA.
Aluminium exports from the Middle East have been severely impacted by the US-Iran war and the closure of Hormuz. Producers in the region have been exploring alternative routes to maintain deliveries, with Saudi Arabia's Ma'aden trucking material to the port of Jeddah on the country's west coast, for example.
"We have already made considerable progress diversifying our outbound logistics to ensure reliable deliveries. Today's agreement with Gulftainer is another important step forward," EGA chief executive Abdulnasser Bin Kalban said.
