In order to manufacture copper products in the UAE, Oriental Copper of Thailand and Dubal Holding, the investment arm of the Dubai government in the commodities, mining, energy, and industrial sectors, have inked a preliminary agreement. According to Dubal Holding, the firms intend to establish a production facility that can process up to 30,000 metric tonnes of copper annually.
According to the statement, both businesses would contribute roughly Dh150 million ($40.84 million) to the initiative, which is anticipated to generate 700 local jobs.
“We are pleased to sign this [agreement] with Oriental Copper, one of the leading manufacturers of high conductivity copper bus bars and other copper fabricated products in the world,” said Ahmad Fahad, chief executive of Dubal Holding.
“This is a vital step in meeting the region's need for downstream copper products, which is now primarily met by imports.”
The global endeavor to electrify society depends on copper, which is used in electric cables and motors. By 2031, the demand for copper is anticipated to climb to 36.6 million metric tonnes due to electrification. However, according to international consulting firm McKinsey, supply is anticipated to increase to 30.5 million metric tonnes within the same period.
According to the World Bureau of Metal Statistics, the UAE, which has the second-largest economy in the Arab world, used roughly 151,000 metric tonnes of refined copper in 2020. About 24.9 million metric tonnes of refined copper were consumed globally in 2020