Emirates Global Aluminium finalises a USD 1.9 billion deal to source greener energy from Abu Dhabi’s grid, aiming to cut emissions and lead sustainable industry practices, with plans for a new US smelter expanding their global footprint.
Emirates Global Aluminium (EGA) has taken a notable stride toward decarbonizing its aluminium production with the finalization of a complex set of transactions involving major stakeholders in Abu Dhabi. Announced on November 27, these agreements see EGA selling its captive power generation assets located at the Al Taweelah complex to Abu Dhabi National Energy Company (TAQA) and DUBAL Holding for around USD 1.9 billion. Moving forward, EGA will source its electricity from the Abu Dhabi grid, which will increasingly include low-carbon power supplied by Emirates Water and Electricity Company (EWEC). This move represents a strategic shift for EGA, aiming to cut down its carbon footprint and aligning with larger sustainability initiatives across the UAE.
The power and water facilities involved are currently essential to EGA’s manufacturing process. By divesting these assets, EGA is planning to overhaul its energy supply model. Interestingly enough, the company intends to become the biggest single electricity user on the Abu Dhabi grid, with an expected annual consumption of roughly 23 terawatt-hours (TWh) over the next 24 years. This sizable power purchase agreement with EWEC will be supported by the development of a new 3.1 GW combined cycle gas-fired plant at Al Taweelah, built through a joint venture between TAQA and DUBAL Holding. Initially, this plant will run on natural gas, but EWEC has committed to gradually increasing the share of renewable and clean energy sources feeding the grid that powers EGA.
This bold deal is projected to cut greenhouse gas emissions by about 3.5 million tonnes per year by 2035, equating to over three percent of Abu Dhabi’s current emissions. It’s a strong signal of the UAE’s broader goal to decarbonize its industrial sector and helps EGA work toward its target of achieving net-zero emissions by 2050. By integrating cleaner energy sources into its production, EGA aims to increase the output of its CelestiAL solar aluminium and MinimAL low-carbon aluminium products. The company hopes that, by the end of 2028, nearly half of its primary aluminium production will come from these more sustainable options, though this will depend on how the market develops.
Alongside this energy transition, EGA is also working on strengthening its raw material supply chain. Recently, ADNOC signed a $500 million deal with EGA to supply up to 1.5 million tonnes of calcined petroleum coke over five years, this being a vital raw material used in aluminium smelting. This partnership supports both the UAE’s broader industrial growth strategy and its efforts to reduce reliance on imports, thus bolstering local supply chains and aligning with decarbonization initiatives.
These moves come at a time when the global aluminium industry faces mounting pressure to curb its sizable greenhouse gas emissions. The smelting process is notoriously energy-heavy and contributes roughly two percent of worldwide carbon emissions, mainly due to heavy dependence on fossil fuels and energy-intensive raw materials. Industry players are increasingly looking toward renewable energy sources like solar, wind, and hydro, while also exploring innovative technologies such as inert anodes and carbon capture systems. Recycling aluminium, which consumes significantly less energy than primary production, is also gaining traction as an effective environmental strategy.
Regulations around the world continue to push large emitters toward greener practices. For instance, the EU’s Carbon Border Adjustment Mechanism (CBAM) and various emissions-trading schemes in China are compelling aluminium manufacturers to adopt more sustainable processes if they want to stay competitive. Within this global context, the UAE’s approach signals a forward-thinking stance, one that leverages regional renewable energy resources and industrial strength to meet international climate challenges.
Although the transaction involving EGA, TAQA, DUBAL Holding, and EWEC still requires regulatory approvals and is expected to close early next year, it’s already seen as a landmark deal for the Gulf region’s energy and industrial sectors. Not only does it set the stage for cleaner aluminium manufacturing, but it also helps optimize power generation assets, creating a cleaner, more efficient energy landscape for Abu Dhabi.
Expanding beyond the UAE, EGA is also eyeing international growth. The company is planning a $4 billion aluminium smelting plant in northeast Oklahoma, which would be the first new smelter built in the U.S. in 45 years. This facility, contingent on legislative incentives, aims to produce about 600,000 tonnes annually and generate significant employment opportunities. It’s clear that EGA is keen on establishing a more global footprint.
All in all, these regional and global initiatives reveal EGA’s ambition to lead the way toward sustainable aluminium production. By harnessing cleaner energy, strengthening local raw material sources, and expanding capacity responsibly, EGA is positioning itself at the forefront of climate-conscious industry innovation, not just in the UAE but on a broader scale.
Source: Noah Wire Services
- https://www.mees.com/2025/11/28/power-water/abu-dhabi-finalizes-deal-to-decarbonize-aluminum-production/64e2c260-cc5b-11f0-a524-ad5f715f662f – Please view link – unable to able to access data
- https://media.ega.ae/ega-taqa-dubal-holding-and-ewec-sign-agreements-to-decarbonise-aluminium-production-and-expand-renewable-and-clean-energy-development-in-abu-dhabi/ – Emirates Global Aluminium (EGA), Abu Dhabi National Energy Company (TAQA), DUBAL Holding, and Emirates Water and Electricity Company (EWEC) have signed agreements to decarbonise EGA’s aluminium production and expand renewable energy in Abu Dhabi. TAQA and DUBAL Holding will acquire EGA’s Al Taweelah power and water assets for USD $1.9 billion, and a joint venture will sign a Power Purchase Agreement with EWEC for a 3.1 GW combined cycle gas-fired plant in Al Taweelah. EGA will become the largest single electricity customer on the Abu Dhabi grid, sourcing 23 TWh of electricity per year for 24 years, with an increasing share from renewable sources. This initiative aims to reduce greenhouse gas emissions by 3.5 million tonnes annually by 2035, more than three per cent of Abu Dhabi’s current emissions. The transaction is subject to regulatory approvals and is expected to close in the new year.
- https://media.ega.ae/ega-taqa-dubal-holding-and-ewec-to-expand-clean-energy-development-progress-power-asset-and-generation-optimisation-and-decarbonise-aluminium-production/ – Emirates Global Aluminium (EGA), Abu Dhabi National Energy Company (TAQA), DUBAL Holding, and Emirates Water and Electricity Company (EWEC) are negotiating agreements to decarbonise EGA’s aluminium production and expand renewable energy in Abu Dhabi. TAQA and DUBAL Holding plan to acquire EGA’s electricity generation assets in the UAE, holding a 50 per cent share each. The power generated from these assets would be supplied to the grid under a long-term power purchase agreement with EWEC. EGA would source power from the grid through a long-term electricity supply agreement, including an increasing proportion of clean energy procured by EWEC, making EGA the largest single electricity consumer on the grid. This initiative aims to support the UAE’s sustainability efforts and EGA’s goal to achieve net-zero emissions by 2050. The agreements are subject to further negotiation and regulatory approvals in both Abu Dhabi and Dubai.
- https://www.thenationalnews.com/business/energy/2025/11/27/taqa-and-dubal-holding-to-buy-egas-power-and-water-plant-in-19bn-deal/ – Abu Dhabi National Energy Company (TAQA) and DUBAL Holding have agreed to acquire Emirates Global Aluminium’s (EGA) power and water plant in Al Taweelah for USD $1.9 billion. This deal is part of a broader initiative to decarbonise EGA’s aluminium production and expand renewable energy development in Abu Dhabi. EGA will become the largest single electricity customer on the Abu Dhabi grid, sourcing 23 terawatt hours of electricity per year for 24 years. The production of CelestiAL solar aluminium and MinimAL low-carbon aluminium is expected to increase, with plans to reach almost half of EGA’s total primary aluminium production by the end of 2028, depending on market demand. The deal is expected to close in the new year, subject to regulatory approvals.
- https://adnoc.ae/en/news-and-media/press-releases/2025/adnoc-and-ega-sign-500-million-deal-to-localize-supply-of-key-raw-material-in-aluminum-production – ADNOC and Emirates Global Aluminium (EGA) have signed a five-year supply agreement valued at $500 million for up to 1.5 million tonnes of calcined petroleum coke, a key raw material used in aluminium production. The agreement aims to strengthen local supply chains by reducing dependence on imports and supports the UAE’s economic diversification goals. The deal was signed during the ‘Make it in the Emirates’ forum in Abu Dhabi, underscoring ADNOC’s commitment to supporting the UAE’s industrial growth and enhancing local supply chains.
- https://www.reuters.com/sustainability/decarbonizing-industries/how-aluminium-producers-are-trying-square-sky-high-emissions-with-role-net-zero-2025-05-14/ – Aluminium production is a significant greenhouse gas emitter due to energy-intensive smelting processes, contributing about 2% of global emissions. Producers are under pressure to decarbonise, with solutions including transitioning to renewable energy sources like hydropower, wind, and solar. Companies are investing in low-emission technologies such as inert anodes and carbon capture, though challenges remain. Recycling aluminium is also a viable path, consuming only 5% of the energy needed for virgin production. Regulatory pressures, such as the EU’s CBAM and China’s emissions-trading system, are further incentivising the industry to adopt sustainable practices. Experts remain cautiously optimistic about the sector’s decarbonisation trajectory.
- https://apnews.com/article/ab8c6c382691245a5098d3ea8fb88586 – Oklahoma state officials have finalized an agreement with Emirates Global Aluminium (EGA) to build a $4 billion aluminium smelting facility in northeast Oklahoma. This development marks the first new aluminium smelting plant constructed in the United States in 45 years. The facility is expected to have an annual production capacity of approximately 600,000 tons of primary aluminium and will be located on over 350 acres at the Port of Inola, near Tulsa. The project is anticipated to generate around 1,000 direct jobs and 1,800 indirect jobs. The agreement is contingent upon the Oklahoma Legislature approving a financial incentives package that includes $275 million in state funding along with exemptions from property, sales, and inventory taxes.
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
10
Notes:
The narrative is recent, published on November 28, 2025, with no evidence of prior publication or recycling. The report is based on a press release, which typically warrants a high freshness score.
Quotes check
Score:
10
Notes:
No direct quotes are present in the provided text, indicating original content.
Source reliability
Score:
8
Notes:
The narrative originates from Mees, a specialized energy news outlet. While not as widely recognized as major news organizations, Mees is known for its industry-specific reporting. The absence of a clear publication date and author raises some concerns about the source’s credibility.
Plausability check
Score:
9
Notes:
The claims align with EGA’s known initiatives, such as the construction of a 170,000 tonnes per year aluminium recycling plant in Al Taweelah, expected to begin production in the first half of 2026. (https://icd.gov.ae/wp-content/uploads/2025/05/ICD-AR2024-Full-Report.pdf?utm_source=openai) The reported agreements with Ewec, Taqa, and Dubal Holding are plausible, given their roles in Abu Dhabi’s energy sector. However, the lack of direct quotes and specific details in the narrative makes it challenging to fully verify the claims.
Overall assessment
Verdict (FAIL, OPEN, PASS): OPEN
Confidence (LOW, MEDIUM, HIGH): MEDIUM
Summary:
The narrative presents recent developments in EGA’s decarbonization efforts, with no evidence of prior publication or recycled content. The absence of direct quotes and specific details, combined with the source’s limited recognition, raises questions about the report’s credibility. While the claims are plausible and align with EGA’s known initiatives, the lack of verifiable details warrants further scrutiny.
