Emirates Global Aluminium, the world’s largest ‘premium aluminium’ producer, reported revenues of AED15.08 billion ($4.11 billion) for the first half of 2025, compared to AED13.98 billion ($3.81 billion) in H1 2024.
EGA delivered underlying Earnings Before Interest, Tax, Depreciation and Amortisation (underlying EBITDA) of AED3.82 billion ($1.04 billion), compared to AED4.20 billion ($1.14 billion) in the first half of 2024. The decline was primarily due to Guinea supply disruption and the expropriation of Guinea Alumina Corporation (GAC), partially offset by higher realised aluminium prices, the company said.
EGA’s underlying net profit before GAC adjustments was AED1.63 billion ($445 million) compared to AED1.84 billion ($500 million) in H1 2024. After the GAC impairment and accounting adjustments, EGA recorded a net loss of AED890 million ($242 million).
Abdulnasser Bin Kalban, Chief Executive Officer of Emirates Global Aluminium, said: “EGA is delivering on its bold growth agenda while transforming how aluminium is made and recycled. From advancing our plans for the first new primary aluminium plant in the United States in decades, to pioneering next-generation smelting technology and expanding our recycling footprint in both the UAE and the US, we are building the future of aluminium. These milestones reflect our commitment to innovation, sustainability, and global industrial leadership.”
Aluminium price up
The average realised London Metal Exchange aluminium price was $2,538 per tonne, up from $2,303 per tonne in H1 2024, though prices fluctuated significantly due to global trade uncertainty and a weaker US dollar.
Alumina prices rose early in the year due to supply disruptions in Australia, India, Jamaica, and Brazil, before easing as capacity expansions progressed in China, India, and Indonesia.
Pål Kildemo, Chief Financial Officer of Emirates Global Aluminium, said: “The volatility in aluminium prices is expected to continue in the second half of 2025 impacted by evolving trade policies and trade tensions. Meanwhile, the global balance for aluminium is expected to be a marginal deficit in 2025. As for alumina markets, prices are expected to continue trending lower as new capacities continue to come online in Asia.”
Production steady
EGA’s primary hot metal production remained steady at 1.34 million tonnes. Cast metal output totalled 1.41 million tonnes, with EGA Leichtmetall contributing 10 thousand tonnes and EGA Spectro Alloys 33 thousand tonnes.
EGA sold 1.37 million tonnes of cast metal to over 400 customers in more than 50 countries, up from 1.31 million tonnes in H1 2024. The share of value-added products - ‘premium aluminium’- rose to 84 per cent (H1 2024: 82 per cent). Higher billet, slab and purity sales offset softer demand for foundry amid weaker-than-expected performance in the automotive sector.
Sales of low-carbon aluminium brands also grew. EGA sold 52,000 tonnes of CelestiAL solar aluminium (including 19,000 tonnes of CelestiAL-R with recycled content), up from 44,000 tonnes in H1 2024. During the period, EGA signed a supply agreement with Hyundai Mobis for up to 15,000 tonnes of CelestiAL per year by 2026.
RevivAL recycled aluminium sales surged to 41,000 tonnes, from just 2000 tonnes in H1 2024.
Al Taweelah alumina refinery produced 1.14 million tonnes of alumina in the first half of 2025, slightly down from 1.22 million tonnes in H1 2024, primarily due to the need to use alternative bauxite sourced from suppliers outside Guinea. To mitigate this, EGA implemented modifications to enhance the refinery’s efficiency in processing other bauxite types. While Australia remained the main source of bauxite during the period, EGA signed an agreement in June 2025 with the Ghana Integrated Aluminium Development Corporation to explore long-term offtake arrangements and collaborate on rail and port infrastructure to support expanded production in the Republic of Ghana.
Negative impact of Guniea
EGA continues to pull all available levers to grow margins and offset the negative impact of the situation in Guinea. The Najah transformation programme has played a significant role in recent years and has now been strengthened and extended to focus on sales, cost control, capital expenditure, and operating capital efficiency. These efforts, combined with a continued emphasis on maximising production and increasing the share of value-added products, enabled EGA to maintain a competitive aluminium segment EBITDA margin of 22.8 per cent in the first half of 2025 (H1 2024: 27.5 per cent), continuing to lead global industry peers, it said.
Exports of bauxite from CBG and GAC remained suspended throughout H1 2025. "After the period, the Government of Guinea wrongfully declared termination of the Basic Agreement and revoked GAC’s mining licence — actions that amount (amongst other unlawful actions taken by the Government of Guinea) to a de facto expropriation of EGA’s investment," the company said.
"As a result of these actions, GAC released the majority of employees (providing compensation beyond local legal requirements), terminated contracts, and is seeking to assert its legal rights over equipment and infrastructure that GAC owns but which is currently under the physical control of the government," it said.
EGA recognised an impairment and provisions charge of AED2.5 billion ($687 million), representing a full write-down of GAC’s value, net of tax credits.
Abdulnasser Bin Kalban continued: “We are deeply disappointed that the Guinean Government and entities under its control have chosen to violate fundamental legal principles to the detriment of investor confidence, governance, transparency, and long-term national interest. In addition to expropriating EGA’s investments in Guinea, this situation increased our bauxite procurement costs, reduced the efficiency of our alumina refinery as we made modifications to process different bauxite grades, and increased our need for third-party alumina. At the alumina refinery we made quicker progress than we initially believed possible for the first half and continue to reduce the impact of the supply disruption. We also made progress forging new global partnerships in bauxite supply.”
EGA advanced its strategic growth agenda in H1 2025, and announced the progression of plans to develop the first new primary aluminium production plant in the United States since 1980.
The plant in Oklahoma is expected to have a production capacity of between 600,000 tonnes and 750,000 tonnes of primary aluminium per year, nearly doubling the United States’ aluminium production capacity. Construction is expected to begin after a bankable feasibility study and by the end of 2026, with first hot metal by the end of the decade. The project has secured state-level incentives through the Oklahoma legislative process, and is progressing technical, environmental and permitting studies to support the feasibility study.
EGA also completed construction of a pilot for its next-generation EX smelting technology in Al Taweelah and began production. EX delivers higher output with lower energy use and emissions, integrating Industry 4.0 capabilities and AI-driven analytics. The technology is being prepared for industrial-scale deployment in Oklahoma.
In recycling, EGA made significant progress. EGA Spectro Alloys completed a 55 thousand tonnes per year expansion in Minnesota, reaching first hot metal in early July. Total capacity now stands at 165 thousand tonnes, with full ramp-up expected in Q1 2026.
In the UAE, construction of the country’s largest aluminium recycling facility in Al Taweelah is ahead of schedule and budget. Construction completion is currently 72 per cent complete with first hot metal expected during the first quarter of 2026. The plant will have a production capacity of 170 thousand tonnes of secondary billet annually.
During H1 2025, EGA signed an MoU with RTX and Tawazun Council to establish EGA as a new producer of gallium, and is currently in the preparation phase of launching a feasibility study for the potential facility in Al Taweelah.
Cash flow from operations was AED2.63 billion, down from AED3.34 billion in H1 2024. Net debt to underlying EBITDA improved to 1.4x (H1 2024: 1.6x). Total debt declined to AED14.7 billion, from AED16.5 billion. EGA made AED1.4 billion in scheduled repayments during the period. - TradeArabia News Service
