INSIGHT FEBRUARY 2016
07. Recognition
10. Product updates
15. Sustainability
2
CONTENTS
04. Message from the MD and CEO 07. Gaining local and global recognition for operational excellence 10. Product update 13. Market update 14. Project update 17. Excellence in EHS 19. See you in 2016
3
Message from the MD & CEO Welcome to the February 2016 edition of the EGA Customer Magazine. The beginning of a new year brings new goals and possibilities, serving as an ideal opportunity to reflect on the achievements and lessons of the previous year. It is a time when – as individuals and businesses – we look to the year ahead and assess how we can do things better, create more success and bring about further progress. As a business built on a legacy of excellence, continuous improvement is part of our corporate culture and has been a key factor in EGA’s success across four decades. We view this as very much a team effort, encouraging EGA employees at every level of the business to come up with innovative ideas on how we can improve as a company; be it from an operations, technology, environmental performance or product perspective. At EGA, our vision and values guide the way we operate. As a team we are all focused on one shared vision – to provide the global economy with sustainable material of the highest quality, building a legacy of excellence for the UAE and the world. This vision is supported by three core values: ‘protect’, ‘provide’ and ‘perform’ and in 2015, there were many examples of how we have lived up to these values across the company. Our commitment to ‘protect’ the environment wherever we operate can be seen throughout the issue; from LEED and DGNB ratings for products manufactured at EMAL to the launch of new projects at DUBAL that target energy optimization and capacity creep. Protecting our employees is also of paramount importance and our impressive LTI records and accreditation for our company healthcare facility are testament to this. To showcase EGA’s community projects, in this issue we focus on the work of GAC, where skills programmes and the development of farmlands are making a meaningful difference and helping to secure a better future for those affected by the project. Our support of healthcare initiatives is also proving to have life-changing affects on the local community in Guinea, providing them with vital access to improved medical facilities. In our selection of articles on operational excellence, the value of ‘perform’ is evident throughout; be it through industry certifications achieved in the past year such as ISO 22301:2012 or award wins internationally and locally at DeutscherIdeenPreis 2015 and the Computer News Middle East Awards (which were among many award wins for EGA last year). In closing I would like to wish you all a prosperous 2016 and look forward to another successful year of business together. Enjoy this issue.
ABDULLA KALBAN MD & CEO: EGA
4
5
6
Gaining local and global recognition for operational excellence As one of the world’s top five aluminium producers, Emirates Global Aluminium (“EGA”) is driven by a commitment to operational excellence; a value that has been firmly rooted in the company’s DNA since its inception in 1979. With a vision to provide the global economy with sustainable material of the highest quality, continuous improvement and innovation across the business, enables the company to excel throughout its operations and drive industry standards. It has now been over two years since Dubai Aluminium (“DUBAL”, referred to as EGA Jebel Ali Operations) and Emirates Aluminium (“EMAL”, referred to as EGA Al Taweelah Operations) merged to form the region’s largest aluminium provider. “The combined strength of both companies has created an even greater platform for technological innovation and business performance excellence,” says Abdulla Kalban (MD & CEO: EGA). Indeed, the integrated
7
business has gone from strength to strength, creating exciting new possibilities for the industry and economy. EGA adheres to the highest quality standards in all aspects of its operations and these efforts haven’t gone unnoticed, with the company having been recognised by several leading bodies over the years. Last year was no exception with EGA receiving a number of accolades and accreditations for its unwavering dedication to achieving the highest standards in operations, product and service. INDUSTRY CERTIFICATIONS DUBAL was one of the first industrial enterprises in the UAE to develop and implement full Crisis & Business Continuity Management Systems and in January 2015, EGA became the first manufacturing company in the Middle East to achieve certification to the ISO 22301:2012 Business Continuity Management Systems standard (by LRQA).
“EGA is driven by a commitment to operational excellence; a value that has been firmly rooted in the company’s DNA since its inception in 1979.”
Industry certification: ISO22301
“Business Continuity Management is an integral pillar of EGA’S business and provides the systematic approach and strategies towards operational continuity,” Kalban explains. “The ISO 22301 certification is testament to the effectiveness of our approach towards this area of focus.” Continuing the company’s journey to excellence, products manufactured by EMAL have been declared suitable for sustainable building practic-
es as per the criteria defined by The Leadership in Energy and Environmental Design (“LEED”) green building programme and the Deutsche Gesellschaft für Nachhaltiges Bauen e.V. (The German Sustainable Building Council). DUBAL’s products were declared suitable for sustainable building practices by both organisations in 2013, so EGA is now fully certified in this regard across its UAE operations. For more on this, see page 09
Exceptional healthcare standards
8
EXCEPTIONAL HEALTHCARE STANDARDS A healthy workforce promotes a happy and productive work environment and to ensure the wellbeing of its employees, EGA operates on-site medical facilities at both sites, where the highest standards are maintained. Open seven days a week, these facilities cater for the organisation’s occupational health needs, provide free medical coverage to full-time EGA employees and their families as well as temporary and contractual employees, and respond to emergencies as necessary. Attesting to this, the in-house clinical laboratory at the EGA Jebel Ali Medical Centre was audited and re-
EGA received the Gold Award in the ‘Safety Idea of the Year’ category at the 2015 Ideas.America International Competition
ceived Joint Commission International (“JCI”) Accreditation at the end of 2014. JCI is an independent, non-profit organisation that evaluates and accredits healthcare organisations with the aim of creating a culture of safety and quality. Mandated by the Dubai Health Authority (“DHA”) to carry out the audit, JCI gave the EGA Jebel Ali Medical Centre a clean bill, making it only the third facility of its kind in the world with no adverse findings. AN AWARD-WINNING LEGACY Continuing a long tradition of international recognition, EGA received the Gold Award in the ‘Safety Idea of the Year’ category at the 2015 Ideas. America International Competition, which took place in Maryland, USA in September. Ideas.America is the leading professional association that assists organisations internationally in idea man-
agement, and the latest accolade is the 36th award EGA has received from the respected body. “This Ideas.America award served to further highlight EGA’s commitment to Environment, Health and Safety and demonstrates our specific emphasis on safety first and always,” Kalban commented following the award win. Gaining further global praise for its commitment to excellence through continual improvement and innovation, last year EGA also received the DeutscherIdeenPreis 2015 – Ideas International Award for the suggestion “Reduce riser voltage drop in new pot cells by welding aluminium strips”. Back on home soil, EGA won the “I.T. Team of the Year 2015” award at the 2015 Computer News Middle East (“CNME”) Awards which recognise individuals and organisations from the Middle East that have delivered
“In today’s technology centric world, an effective I.T. operation can be pivotal to any organisation’s success – especially when I.T. is designed to bring about change and innovation in the organisation.”
9
ground-breaking business value through the innovative application of technologies. “In today’s technology centric world, an effective I.T. operation can be pivotal to any organisation’s success – especially when I.T. is designed to bring about change and innovation in the organisation,” explained Ahmad Almulla (Senior Vice President, I.T. at EGA). Nominees were reviewed and judged by a panel comprising industry experts and this particular award was assessed based on achievements in the last 18 months on areas such as supporting business integration, ontime completion of I.T. projects to improve business productivity, integrated team work and a focus on training and continuous skills refreshment. How the team overcame challenges was also taken into consideration. As EGA looks to the coming year, operational excellence will remain a key strategic focus to ensure that customers are served with the best product first time and every time. Team work, problem-solving and innovation will remain vital to ensuring continuous improvements throughout the organisation and help to solidify the company’s position as a leading global player.
Product update T-bars
Responding to the global upward demand for pure grade alloys, EGA Al Taweelah Casthouse sheet slab casting complex added a breakthrough initiative on 5 March 2015, by introducing saleable T-bars to the market. The specifics of the product and production station are as follows:
nT otal capacity: 190 kpta nS awn to customer’s desired length nC ast on vertical direct casting machine, using Low Head Composite Mould Technology This achievement is another demonstration of EGA operations team and management’s capability to supply quality product to our valued customers.
10
Can you spot the new additions to our product range? RE-MELT PRODUCTS High purity (from grade 99.90% to 99.96% purities)
Open moulds ingots
10 kg; 20 kg; 22.5 kg
Low profile sow ingots
680 kg
High profile sow ingots
500 kg
Standard profile sow ingots
680 kg
T-bars
Foundry alloys
HDC small ingots
(Silafont 36 and AlSi3, A356.2; 7%, 10% and
Properzi ingots
680 kg to 2,200 kg 8 kg & 10 kg 10 kg
11% silicon alloys) T-bars 680 kg to 2,200 kg
ROLLED PRODUCTS
(1xxx, 3xxx, 5xxx,6xxx, 8xxx series alloys)
Open moulds ingots
600 mm
Typical widths 1,150 mm; 1,200 mm; 1,350 mm;
1,400 mm; 1,450 mm; 1,550mm;
1,600 mm; 1,650 mm; 1,700 mm;
1,750 mm; 1,800 mm; 1,850 mm,
1,950 mm, 2,000 mm; 2,050 mm, 2,200 mm
Lengths
As desired, maximum 10,000 mm
BILLETS FOR EXTRUSION AND FORGING (homogenized using continuous
Diameters available 152 mm; 155 mm; 178 mm;
and batch homogenizers)
203 mm; 216 mm; 228 mm
254 mm; 273 mm; 279 mm;
Lengths
305 mm; 355 mm; 381 mm; 406 mm 420 mm to 7,500 mm
CASTING FACILITIES
DUBAL
EMAL
(Jebel Ali Operations)
Sow
95,500 tonnes/year
330,000 tonnes/year
Standard Ingots
220,000 tonnes/year
570,000 tonnes/year
Properzi Ingots
98,500 tonnes/year
–
Horizontal direct casting
133,000 tonnes/year
–
Vertical direct casting
721,000 tonnes/year
420,000 tonnes/year
Sheet Ingots
–
380,000 tonnes/year
Liquid metal
–
150,000 tonnes/year
11
(Al Taweelah Operations)
EGA products rated for sustainable building by LEED and DGNB Products manufactured by EMAL have been declared suitable for sustainable building practices, as per the applicable criteria defined by two internationally acclaimed bodies, namely: • The Leadership in Energy and Environmental Design (“LEED”) green building programme launched by the US Green Building Council (“USGBC”); and • Deutsche Gesellschaft für Nachhaltiges Bauen e.V. (“DGNB”, which translates as the German Sustainable Building Council), which strongly promotes sustainable and economically efficient building. “The LEED and DGNB ratings of our products are a major development for EGA, as about 46 per cent of our total annual production comprises aluminium billets that are used extensively by extruders to produce construction components – such as window and door frames,” says Walid Al Attar (Chief Marketing Officer). RY ET MA PRI M BILL 14 P TO INIU IN 20 R M E ALU DUCEDWID PROWORL
“The international rating of suitability for use in sustainable building practices places the products manufactured by both DUBAL and EMAL in a strong position to be specified by end-users in the building and construction industry worldwide.” LEED and DGNB sustainability ratings also represent a key differentiator in the local market, where billets account for the major proportion of annual sales. “New laws have been enacted in the UAE, whereby the incorporation of sustainable measures is mandatory in all new construction projects in the Emirates as of 2014,” Al Attar explains. “The suitability of our products is tangible evidence of EGA’s support for the government’s green building agenda, simultaneously confirming the success of our efforts to produce ‘green metal’ as part of our overall sustainable business philosophy and supporting strategies to minimise the impact of our business on the environment.”
“The LEED and DGNB ratings of our products are a major development for EGA, as about 46 per cent of our total annual production comprises aluminium billets.”
12
Market update 9%
PURE METAL
29%
SHEET
2015 Production
40%
2,464,000 tonnes
22%
FOUNDRY
BILLETS
PERCENTAGE TOTAL EXPORTS IN 2015
EUROPE 25% THE AMERICAS 12%
GCC/ MENA 18%
13
ASIA 45%
Project update
EGA Jebel Ali, Dubai In Q1, 2015, EGA Jebel Ali launched a new project designed to target energy optimization and capacity creep. Good progress has already been made on the three core components of the project, namely:
Guinea Alumina Corporation SA (“GAC”), Guinea In June 2015, EGA’s mining development company, GAC signed a series of four agreements in Paris, France with the Government of the Republic of Guinea (“GoG”) – the latter represented by the Ministry of Mines and Geology and the National Agency for the Development of Mining Structures (“ANAIM”). Also present and party to the agreements were Compagnie des Bauxites de Guinée (‘’CBG’’) and Compagnie de Bauxite et Alumina de Dian-Dian (“COBAD’’) The four agreements comprised: • A Multi-User Operations Agreement covering the access conditions and joint investment in the railway; • A Port Operations Agreement covering the modalities of operation and investment in the Port of Kamsar; • An Infrastructures Agreement covering GAC’s access rights to the existing infrastructures; and • A Port Agreement (now referred to as the Bulk Materials Dock Agreement), covering the modalities of development of GAC’s Bauxite and Alumina Terminal. The signed agreements relate to the access granted to GAC to the port and rail infrastructure owned by the GoG through ANAIM in the region of Boke and put under concession to CBG; and to the development of ‘’additional infrastructure’’ in the region of Boke, to support the expansion of GAC’s mining activities. The work will be carried out by the parties to the respective agreements.
• Replacement of D18 cells with D18+ Technology –The newer technology offers a reduction in net specific energy consumption to below 13 kWh/kg Al; delivering current efficiency greater than 95 per cent; and an increase in production capacity to 2.0 tonnes Al/pot-day. Construction of the first 32 new D18+ Technology cells was completed, with start-up in October 2015. • Adding four DX Technology cells to Potline 8 – The increased operating amperage of this line, currently at 401 kA, together with the associated reduction in specific energy consumption, has allowed for additional DX Technology cells to be added to Potline 8 in the centre passage, which, in turn, will increase the line’s production capacity. These four cells were in operation by end-September 2015. • D20+ Technology cells in Potline 5B – Inspired by the D18+ Smelting Technology pilot project’s successful maximisation of production with the available power, experimental modifications were introduced to modernise the D20 Technology cells in Potline 5B. The reduced specific energy consumption allows for additional D20+ Technology cells to be added to the line, in turn yielding higher hot metal production.
D18+ cells
14
Local health centre in Sangaredi
Ensuring a sustainable future for the people of Guinea As part of its social license to operate, EGA’s mining development company, Guinea Alumina Corporation (“GAC”) works continually to improve the quality of life of the surrounding community as well as those affected by its operations. GAC’s community engagement programmes are designed to deliver long-term social and economic benefits to Guinea through employment (including self-employment) and skills training. The company also provides expertise and resources to construction projects, which focus mainly on improving the medical
15
facilities available to local people. Here is a snapshot of some of GAC’s recent community work in Guinea. PROMOTING SKILLS DEVELOPMENT Aiming to foster sustainable development through vocational skills training, GAC runs a six-month programme for those living in the surrounding community. Now in its third year, the training is held at the Boké Vocational Training Centre (CFP de Boké) and covers five areas of expertise: mechanical, electrical, plumbing, masonry and carpentry. The most recent session, run from June to December
IMPROVING HEALTHCARE Access to healthcare is fundamental to promoting a sustainable society and GAC has supported several initiatives aimed at improving medical facilities in the communities surrounding the project. Two examples are highlighted below.
Planting crops
2015, benefitted 95 Guineans – both male and female – from the villages of Sangaredi, Tanene and Kamsar. Approximately 90 per cent of each course is based on practical training, enabling the students to gain first-hand knowledge of the skills required. On completion of the programme, trainees are provided with work tools and individual protection equipment, encouraging them to pursue a vocation following their studies. To ensure the success of this initiative, a monitoring plan is carried out during and after the programme by the management team of CFP de Boké and the village committee. ENHANCING FOOD SECURITY THROUGH AGRICULTURE Helping to encourage food security in the local area, GAC has developed farmlands for the resettled villages of Touldé and Petoun Djiga. The GAC Community Team was involved in helping farmers to complete preliminary work for the project; which included weeding, staking and hole digging. The team also provided mineral amendments and vital equipment along with 1,250 kg of fertilizer. A total of 1,774 trees (including mango, orange, avocado banana and palm trees), donated by the Institute for Agricultural Research of Guinea, were planted on approximately 17 acres of land in Touldé and seven acres in Petoun Djiga.
In the city of Sangaredi, GAC has funded the refurbishment of a local health centre, including the construction of an additional building that will feature high quality equipment and increase the number of treatment rooms available. The improved facility will be able to receive 500 pregnant women for preliminary medical consultations and healthcare, deliver at least 100 infants and complete a minimum of 10 operations over a one-month period. The construction contract for the project was awarded to Guinea
Health post at Kawass
Local skills development
16
Support Services and led to the creation of 70 jobs. In the district of Kawass, sub-prefecture of Kamsar, GAC has sponsored the construction of a modern health post, to provide vital medical support for those living in the district. Previously, patients – including pregnant women – would have to walk three kilometres to reach the nearest health facility in Kakota, just to receive basic medical care. This resulted in many fatalities; illustrating the significant impact the new health post will have on the local community. The construction contract for the project was awarded to local SME STI Topographic and Engineering Services and created 30 jobs – all filled by Guinea nationals. The fully equipped infrastructure features solar energy technology, providing a sustainable, low-cost source of power.
Excellence in environment, health and safety
FTP main exhaust fans showing the location of the fan and the motor
“Protect” is one of EGA’s corporate values, reflecting the company’s safety-first approach. Linking to this, one of EGA’s priorities is to build a sustainable culture in Environment, Health and Safety (“EHS”), a culture that focuses on encouraging positive behaviours from all leaders, employees and contractors. Be it safety at work or the protection of the environment, EGA strives for continuous improvement and has achieved a number of notable EHS milestones in the past year. In Q2 2015, an initiative introduced by the EGA Jebel Ali Smelter Mainte-
nance department to reduce greenhouse gas (“GHG”) emissions was approved by the UAE Ministry of Energy and is to be registered as a Clean Development Mechanism (“CDM”) project under the United Nations Framework Convention on Climate Change.
GHG emissions. This is EGA Jebel Ali’s second initiative to be registered as a CDM project – the first being “Regenerative Burners for Melting Furnaces” which consume approximately 39 per cent less gas than conventional cold air burners.
The project, titled “The 3.3 kV Main Exhaust Fans energy-saving Project” is integral to the EGA Jebel Ali carbon management strategy and will save approximately 30 to 40 per cent of energy consumption by using Variable Frequency Drive, which provides maximum efficiency. The lower energy consumption translates into lower
In Q3 2015, Process Control Potroom at EGA Jebel Ali notched up a record 21 years without Lost Time Injury (“LTI”). One of the key factors enabling the team to reach 21 years without an LTI is the high awareness culture among team members. This, along with safety best practice, close working relationships with safety
17
21 years LTI free at Process Control Potroom
officers and the use of insight analyses for safety tools has provided a recipe for success. Attention to detail is key for a safe workplace and nothing should be left unnoticed. From a leaking pipe to a dusty ceiling tile – all aspects are reported, evaluated and rectified at EGA. With a team of 45 employees at the Technical Laboratory at EGA Jebel Ali, achieving 2,060,674 man-hours with no lost-time injury is no easy task. However, through the persistence of management and an unwavering commitment to safety among employees, the unit has now operated a safe workplace for 25 years. These projects are among many initiatives implemented at EGA to improve the company’s performance in Environment, Health and Safety. Health and safety practices are em-
“Innovation is part of our corporate DNA – it defines who we are and how we operate – and has been pivotal to us securing a leadership position in the global aluminium industry.”
Local skills development
bedded in the everyday working environment throughout the company, and EGA’s industry-leading standards in the field are widely respected.
EGA has submitted patent applications for several of its proprietary technologies, of which two are summarised below:
In Q4 2015, EGA hosted a one-day event “Innovation, Geared by Ideas” at each of its smelter sites in the UAE to promote innovation and the power of creative thinking. The event was a celebration of the culture of valueadding innovation that has been a cornerstone of EGA’s successful and sustained growth over the years. “Innovation is part of our corporate DNA – it defines who we are and how we operate – and has been pivotal to us securing a leadership position in the global aluminium industry,” he said Abdulla Kalban.
•P ot start-up fuse designed by a team of engineers at EGA for a safer and easier way to use.
18
•A node-Rod Tracking System developed in-house to track individual anodes and rods at each stage of the process – from anode production to anode rodding, through the smelter operation (potrooms) and back to anode rodding (for recycling of the anode butts and rod assemblies), allowing for a comprehensive cycle data collection that gives chances for improvements.
See you in 2016 FEBRUARY TMS 145th Annual Meeting & Exhibition 14 to 18 February 2016 MAY The International Aluminum Extrusion Technology Seminar 2 to 6 May 2016 JUNE Harbor’s 9th Aluminium Outlook Summit 7 to 9 June 2016
SEPTEMBER Metal Bulletin’s 31st International Aluminium Conference 2016 September 2016 NOVEMBER 19th Arab International Aluminium Conference (“ARABAL”) 2015 November 2016 NOVEMBER/DECEMBER Alu Dusseldorf 2016 29 November to 1 December 2016
19
20