Rusal to boost output at Guinea bauxite project
MOSCOW, Dec 31 (Reuters) - Rusal, the world's largest aluminium producer, and the government of Guinea have signed a plan to develop the Dian-Dian bauxite deposit which will involve building an alumina refinery and gradually increasing ore output.
Hong-Kong-listed Rusal owns the rights to develop Dian-Dian, the world's largest bauxite deposit located in Guinea, West Africa, which it plans to exploit in several stages, the company said on Monday.
During the first stage, the company will develop a bauxite mine with a capacity of 3 million tonnes per year by 2015, potentially lifting output to 6 million tonnes per year by 2019.
An alumina refinery plant with the capacity of 1.2 million tonnes per year is expected to be built in the next six years, under the plan.
Its capacity could hit 2.4 million tonnes and bauxite production at Dian-Dian could grow to 12 million tonnes per year, with the exact output growth depending on the global economic situation and Rusal's needs, the company said.
"...The mutually beneficial nature of our cooperation will improve the investment climate in the Republic of Guinea and raise the competitiveness of Rusal as a leader of the global aluminum industry and one of the largest investors in this African country," First Deputy CEO Vladislav Soloviev said in a statement.
Rusal, controlled by billionaire Oleg Deripaska, accounted for 9 percent of global aluminium and alumina production in 2011. The aluminium major markets and sells its products to Europe, North America and South East Asia.
(Reporting by Alexei Anishchuk; Editing by Mark Potter)