RIYADH: An advanced integrated aluminum complex is set to be developed in Yanbu after Saudi Arabia’s Public Investment Fund agreed initial terms with Red Sea Aluminium Holdings.
The project, announced at the Future Minerals Forum in Riyadh, will be operated by Red Sea Aluminium Industrial and will introduce advanced smelting and continuous-casting technologies.
It is expected to include one of the Middle East’s largest continuous-casting facilities for high-value downstream aluminum products, according to a press release.
The collaboration marks a significant step in PIF’s strategy to build globally competitive industrial ecosystems, diversify Saudi Arabia’s economy, and strengthen its manufacturing capabilities.
The project will also support the localization of supply chains and position the Kingdom as a regional hub for high-value aluminum products.
Muhammad Al-Dawood, head of industrials and mining sector at the sovereign wealth fund, said: “PIF continues delivering on its mandate by further developing globally competitive industrial ecosystems that drive Saudi Arabia’s economic transformation and diversification.”
He added: “RSAI would secure the supply of downstream aluminum products to meet global and local demand.”
RSAH, a joint venture between Innovation Global Industries, Innovation New Materials, and Shandong Innovation Group, will leverage its shareholders’ expertise as some of the world’s leading producers of downstream aluminum.
“RSAI aims to become a global downstream aluminum leader, embedded within Saudi Arabia’s industrial and energy ecosystem and designed from day one to meet the needs of international customers,” said Tom Northover, executive board director of RSAH.
He added: “We are pleased to partner with PIF and leverage its extensive investment knowledge and scale. Our investment in Yanbu reflects the fundamental strength of Saudi Arabia as a global center for advanced industry.”
PIF’s investment in the aluminum complex complements its broader portfolio in strategic sectors such as automotive, power and utilities, electronics, and construction.
The project is also expected to promote workforce development through technical training and skills-building initiatives aligned with global best practices.
The initial terms remain subject to final agreements, including the completion of transaction documents, regulatory approvals, and fulfillment of condition precedents.
