Pittsburgh aluminium pioneer Alcoa Corporation and Emirates Global Aluminium (EGA) announced this week a new agreement in which Alcoa will supply alumina to EGA’s aluminium smelters.

The agreement will begin next year and will reserve 15.6 million metric tons of alumina from Alcoa’s alumina refineries in Western Australia and will run for a term of eight years. The firms did not disclose the financial details to the public.

Alcoa President and CEO Roy Harvey said in a press release that his firm is eager to begin supplying EGA with low-carbon alumina. 

“Alcoa operates the world’s largest third-party alumina business with low-carbon processes, and we’re proud to be recognized with this significant additional volume from EGA as a leading global producer. The agreement is the largest alumina supply contract ever signed between Alcoa and EGA, and it will strengthen the long-term supply relationship between our two companies.”

EGA will have available for its selection Alcoa’s low-carbon EcoSource brand, which is produced using no more than 0.6 tons of carbon dioxide equivalents per ton of alumina produced, which is half of the industry average of 1.2 tons of CO2e per ton of refined alumina.

Abdulnasser Bin Kalban, EGA’s Chief Executive Officer, said the new deal offered it the ability to shore up its alumina supplies.

“Most of our alumina needs into the next decade are now secured by our own production and a long-term supplier in Alcoa that is aligned with our sustainability goals. This agreement will further strengthen EGA’s platform for future growth.”

With this agreement, Alcoa becomes EGA’s biggest third-party supplier of alumina. At present, EGA supplies 47 percent of its own alumina.