The smelter will use Dubal's CD 26 technology developed jointly with Australia's Comalco Aluminium. Dubal will also assist in operating the plant and marketing its output.

The shareholders agreement covers the smelter and the planned captive power plant. However, it has still to be decided whether the venture will build the power plant itself or as an independent power project (IPP). The smelter will require a base load of 800-900 MW, implying that a 1,200-MW plant will be required.

Gas feedstock for the power plant will be sourced from the local Al-Khaleej Gas Company, with which UDC has already signed a termsheet establishing the parameters for the gas to be supplied. The next step will be the signing of a gas sales and purchase agreement.

A feasibility study for the project has been completed by a group of consultants, including K Home Engineeringand Mott MacDonald, both of the UK. Contract awards are now pending for the environmental impact assessment and soil investigation packages. The project promoters say that the front-end engineering and design (FEED) package will be tendered soon, along with the financial advisory mandate. The engineering, procurement and construction (EPC) contract is scheduled to be awarded in early 2004, allowing for the first metal products in the second half of 2006.