Bahrain's Alba signs $169m bank loan deals

Aluminium Bahrain enters into agreements to refinance bond due to expire in March 2013
Bahrain's Alba signs $169m bank loan deals
By Andy Sambidge
Thu 27 Dec 2012 04:27 PM

Aluminium Bahrain, also known as Alba, said on Thursday that it has entered into term loan agreements to refinance a $169m bond which is due to expire in March.

The term loans include a bilateral five-year loan of $85m with Gulf International Bank and a syndicated three-year loan of $84m with Ahli United Bank, National Bank of Bahrain, Tokyo-Mitsubishi UFJ Ltd, Arab Banking Corporation and Bank of Bahrain and Kuwait.

Alba, which owns the world's fourth-largest aluminium smelter, said earlier this month that it has hired Bechtel Canada to conduct the feasibility study for its proposed $2.5bn expansion plan to add a sixth production line.

Alba has said previously the new line - which will add 400,000 tonnes annual capacity to its current production of 881,000 tonnes a year - could be completed by early 2015.

The feasibility study will evaluate the economics of building Line 6 as well as a fifth power station at the site, a statement to Bahrain's stock exchange said.

The study is expected to be completed by the third quarter of 2013.

For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.

Subscribe to our Newsletter

Subscribe to Arabian Business' newsletter to receive the latest breaking news and business stories in Dubai,the UAE and the GCC straight to your inbox.