EGA repays Al Taweelah project finance facilities early in optimisation of capital structure

ABU DHABI, Emirates Global Aluminium (EGA) today announced the early, full repayment of the project finance facilities extended by 13 export credit agencies and banks for the development of the company’s Al Taweelah smelter in Abu Dhabi.

The project financing was extended to Emirates Aluminium, now an EGA subsidiary, for phase one of the project in 2010 and then phase two in 2013, each with a tenor of 15 years. The repayment four years and seven years early totalled $361 million.

The early repayment further deleverages EGA and is an important part in the company’s capital structure optimisation strategy.

EGA’s financing has been reduced by over $1 billion in the last two years and now consists of a senior term loan facility of $5.5 billion, and EGA subsidiary Guinea Alumina Corporation’s $700 million project finance facility which was secured in 2019.

Zouhir Regragui, EGA’s Chief Financial Officer, said, “This further deleveraging simplifies our debt structure and strengthens our balance sheet for the next stage in our corporate journey. We have been able to de-lever successfully in 2021 while generating returns for our shareholders due to the enduring strength of our business and robust demand for our metal.”

Source: Emirates News Agency