It will be used to make an automotive body sheet for Nissan.
The agreement with Kobe Steel will see the supply of EGA’s CelestiAL solar aluminium to one of the largest rolling mills in Japan.
The giant Japanese automaker uses automotive body sheet to form vehicle body panels such as doors and bonnets.
As the report stated, EGA currently supplies thousands of tonnes of aluminium to Kobe Steel every year in a business relationship that stretches back more than 25 years.
Abdulnasser Bin Kalban, Chief Executive Officer of EGA, said, "EGA was the first company in the world to make aluminium using solar power, and we are proud that our CelestiAL metal will now be used in Nissan vehicles through Kobe Steel, as well as those of other leading global car companies."
He added, "We look forward to increasing our production of CelestiAL over the years ahead, contributing to the decarbonization of EGA and of end-user industries, including auto manufacturing." I thank Kobe Steel for their continuing trust in EGA and our metal.
According to the report, "in 2021, EGA became the first company in the world to produce aluminium commercially using solar power through a partnership with Dubai Electricity and Water Authority, which operates the Mohammed bin Rashid Al Maktoum Solar Park in the desert outside Dubai."
The new steady power demand from EGA would increase the predictability of the overall power system and advance EWEC’s development of new solar energy projects.
The scale of the expansion is expected to be greater than the current total installed solar generation capacity in the UAE, and EGA would utilise this additional solar power once it is developed, according to the report.
Using solar power to make EGA's CelestiAL solar aluminium cuts Scope 3 emissions from aluminium smelting by a large amount and gives end users a chance to cut their own Scope 3 emissions.
The agreement with Kobe Steel comes on the heels of CelestiAL supply agreements with BMW Group and Mercedes-Benz parts manufacturer Hammerer Aluminum Industries, according to the report.
By Sumita Pawar