EGA Completes Civil Works for Spectro Alloys Recycling Expansion in the US
Emirates Global Aluminium (EGA), the UAE’s largest industrial company outside of oil and gas and a leading producer of premium aluminium, has announced the completion of civil works for the expansion of its US recycling subsidiary, Spectro Alloys. The project involves a 90,000-square-foot addition to Spectro’s facility, allowing the production of billet from post-consumer aluminium scrap.
Construction began in March 2024 and marks a significant milestone in EGA’s global expansion into aluminium recycling. Abdulnasser Bin Kalban, EGA’s CEO, emphasized the importance of the development, stating, “The completion of the civil works is an important milestone in the expansion of Spectro Alloy’s recycled aluminium production and our ambitions to grow EGA’s recycling business in the United States. The full completion of this project will strengthen our business in the United States, which is already one of our largest markets.”
The first phase of the project will add 55,000 tonnes of secondary billet production capacity. Initial hot metal production is expected early in the second half of 2025, with a full production ramp-up projected for the first quarter of 2026. Aluminium billet, a key raw material for extruders, is used to produce a range of products, including railings, window and door trim, and structural components for vehicles, boats, airplanes, and more.
The facility is also expected to increase Spectro’s recycling capacity by nearly 120 million pounds annually and create approximately 50 new jobs. Equipment assembly and calibration will take place in the coming months, with initial production slated to begin in the second half of 2025.
EGA acquired an 80% stake in Spectro Alloys in September 2024, as part of its strategy to expand into aluminium recycling and strengthen its US presence. Spectro Alloys, based in Rosemount, Minnesota, is a leading producer of secondary foundry alloys, with a current annual production capacity of 110,000 tonnes of aluminium ingots. Luke Palen, President of Spectro Alloys, remarked, “This increase in capacity and capabilities means Spectro will have a greater impact on recycling rates in Minnesota, on meeting the needs of sustainable manufacturers, and on advancing the increasingly vital circular economy.”
The $71 million expansion project, announced in September 2023, aims to meet the growing demand for recycled aluminium sheets and extrusions. The expansion is driven by consumer preferences for sustainable products, adherence to green building standards, the need for reliable domestic supply chains, and cost advantages of using recycled materials. According to CRU, demand for recycled aluminium in the US is expected to reach approximately 7.6 million tonnes annually by 2033. Currently, the United States is the world’s second-largest market for recycled aluminium.
