OREANDA-NEWS. UC RUSAL, the world's largest aluminium and alumina producer, announced its production and summary preliminary financial results for the first nine months of 2007, with the following highlights:

- Alumina production rose by 5.7% to 8,451,791 tonnes compared to the same period last year.
- Aluminium production increased by 5% to 3,104,847 tonnes.
- Output of high value-added casthouse products improved by 13.6% and its share of total production reached 52%.
- Foil production increased by 25.4%.
- Overall investment for the first nine months of 2007 amounted to over USD 2.2 billion.
- Investment into expansion, reconstruction, modernization and technical refurbishing of existing facilities amounted to approximately USD 1.1 billion.

Commenting on the results, Alexander Bulygin, CEO, United Company RUSAL said: "These robust results demonstrate that UC RUSAL has successfully completed the integration of our assets, while the new projects we have initiated open the next stage of the company's development as energy and metals corporation. Our efforts are focused on the construction of the technologically advanced plants which will enable us to increase aluminium production up to 6 million tonnes by 2013, and alumina refining to up to 17 million tonnes.  At the same time, we will continue to build our own low cost, diversified energy base. We also plan to expand our operations by building new plants in Asia and South America."

Key projects and initiatives:
- Three new large-scale projects were initiated: Taishetsky aluminium smelter, Boguchansky aluminium smelter, and Komi bauxite and alumina complex. 
- Environmental modernization of Krasnoyarsk aluminium smelter reached completion stage, with about USD 60 million invested in the first nine months of 2007. By 2008, the level of emissions will decrease by 30% as a result of this project. Overall investment will exceed USD 300 million. 19 out of 24 potrooms now have automated alumina point feeders installed and 14 new gas treatment facilities out of 19 planned have been introduced.
- The Khakas aluminium smelter is ramping up to full capacity. The fourth and final electrolytic cell complex is being put into operation. The first three complexes are already producing 279 tonnes of metal on a daily basis. Each day two more UC RUSAL's proprietary RA-300 electrolytic cells are being  introduced. In September, the smelter produced its first 100,000 tonnes of aluminium. Full production capacity of 300,000 tonnes per annum will be achieved in November 2007. The total investment in the project amounted to around USD 750 million.
- Irkutsk smelter expansion, involving the construction of two new potrooms based on OA-300, the company's proprietary production technology, with capacity of about 170,000 tonnes per annum, is approaching completion. The launch is scheduled for November 2007. As a result of this project, the smelter's overall capacity will be increased by 1.5 times to 450,000 tonnes per annum.
- Nikolaevsky refinery capacity expansion project to increase alumina production up to 1.7 million tonnes per annum by 2008 and to construct a red mud disposal area is underway.
- In the framework of the launch of the UC RUSAL ALSCON aluminium smelter the company has developed transport infrastructure and initiated restoration of the cathode and foundry sections, as well as a gas fired power plant.
- Long-term social investment program in Nigeria launched in September to support the development of local communities and infrastructure projects in Ikot Abasi, Akwa Ibom State, where the UC RUSAL ALSCON aluminium smelter is based. UC RUSAL ALSCON has committed to providing support in such areas as education, healthcare and wellbeing, supply of water and electricity.
- Letter of intent signed with the Republic of Venezuela to jointly develop alumina and aluminium projects. The agreement creates the basis for a comprehensive exploration of the technical, economic and financial aspects of forming a joint venture to implement bauxite extraction, alumina, aluminium and alloy production. Preliminary assessment for the project will be prepared by the end of 2007.
- Memorandum of intended cooperation signed with Indonesian state-owned company ANTAM to construct a bauxite and alumina complex. Preliminary estimated production capacity will reach 3.6 million tonnes of bauxite and 1.2 million tonnes of alumina per annum.
- New branch of Siberia Industrial Park opened in Komi Republic. UC RUSAL and Hencon (Netherlands), one of the leaders in production and maintenance of processing equipment for the aluminium industry (which has a representative office in the Siberia Industrial Park in Krasnoyarsk), have agreed to create a joint venture for manufacturing equipment supporting the production of electrolytic cells.
- Agreement with French energy giant AREVA, to form a joint venture that will produce electrical equipment for aluminum smelters. During the next five years it is expected to produce and deliver USD 500 million worth of equipment for the modernization of existing operations and expansion projects as well as for introduction of new aluminium and energy generation capacities.

According to the RUSAL press service, the 5% growth in aluminium output and 13.6% rise in production of value-added products during the past nine months resulted from UC RUSAL's ongoing projects to bolster production, modernize equipment and improve the technical as well as economic parameters of the United Company's smelter operations, as well as increased aluminium production after the launch of the 2nd and 3rd complexes at the Khakas aluminium smelter.

The increase in alumina production of 5.7 % was achieved as a result of increased production at the Nikolaevsky alumina refinery and the acquisition of 56.2% stake of Eurallumina by RUSAL in November 2006.

The significant over 25% growth of aluminium foil production is due to launch of Armenal plant, which is expected to achieve its full production capacity of 25,000 tonnes by the end of 2007.