EGA, Century Aluminum team up to build first US smelter in 50 years

[Ben Graham]

Emirates Global Aluminium (EGA) and Century Aluminum Company (NASDAQ: CENX) announced Tuesday that they have entered into a joint development agreement to build the first new primary aluminum production plant in the United States since 1980. 

The project, named Oklahoma Primary Aluminum, is expected to double US primary aluminum production and make Oklahoma a national center of aluminum-related manufacturing. Under the joint development agreement, EGA will own 60% of the joint venture, with Century owning the remaining 40%.  

The new plant, to be built in Inola, is expected to produce 750,000 tonnes of aluminum per year, larger than previously envisioned and more than doubling current US production. The Inola plant will create 1,000 permanent direct jobs at the facility and 4,000 jobs during construction, Century Aluminum said.  

“By establishing an aluminum hub in Oklahoma, we are strengthening and shortening the supply chain for a critical metal that supports American industries,” Century Aluminum CEO Jesse Gary said in a news release. “Today’s announcement highlights the multiplier effect of revitalizing domestic production—attracting new infrastructure investment and creating jobs in adjacent industries.” 

The U.S. Aluminum Company, founded by the Plotkin family, owners of aluminum fabrication company M-D Building Products said in a separate statement that it also has signed an agreement with EGA and Century Aluminum to explore the development of an aluminum fabrication plant near the new smelter. 

The goal of the partnership is to build a plant near the smelter to turn liquid aluminum into products for the electrical, defense, aerospace, automotive and machinery industries, U.S. Aluminum said.

“This project will help make Oklahoma – especially Inola – one of the top places in America to manufacture aluminum products, while creating thousands of new jobs for Oklahomans,”  EGA CEO Abdulnasser Bin Kalban said. “We’re proud to sign our first downstream exploratory agreement before the smelter is even built.” 

Construction of Oklahoma Primary Aluminum is expected to begin by the end of 2026, with first primary aluminum production by the end of the decade.