In what was described as a major milestone in the overall Alba Line 5 expansion project, the first steel structures were installed for new buildings of Power Station Four (PS4).

One building will house Gas Turbine No. 51 along with three other similar gas turbines. Another building will house two steam turbines which will together help supply 660 MW of electric power to Alba's fifth line.
Around 1,000 tonnes of steel go into the gas turbine building, with a similar amount for the steam building and a further 500 tonnes for other structures.
The Engineering Procurement and Construction (EPC) contract for Power Station 4 was awarded to Alstom on a Turnkey Basis in April 2003 and was sub-contracted to local contractor Ahmed Mansoor Al A’Ali (AMA), which will undertake the steelwork fabrication, mechanical, electrical and civil site installation work for PS4.
“We are extremely happy to have witnessed the commencement of the installation for the PS4 steel works, as this highlights the success of the contractors in meeting the time constraints placed on them,” said Alba Line 5 Power Expansion manager Mahmood Asghar.
“We are therefore confident that PS4 will be finished according to schedule and power will be available for the commissioning of the 5th potline next year.”
Line 5 will raise total capacity to 827,000 tonnes per annum (tpa) by mid-2005 from the current level of 520,000 tonnes, an increase of 307,000 tonnes.
The $1.7 billion expansion will have a knock-on effect on other companies in the local aluminium sector, allowing them to expand their output, said chief executive Bruce Hall.
Even though Alba sells more than half its output to local downstream companies, they have long complained they don’t get enough to meet their needs and as a result have been forced to delay expansion ambitions, he said.
Once the fifth potline is fully operational by June next year and following a stabilisation period of a few months, Hall promises to meet their immediate needs and also have enough capacity left over to increase Alba’s exports.
“The Line 5 project will allow us to produce over 300,000 tonnes more every year for both the local and export markets,” he said.
In addition to 450 new full-time jobs at Alba, more jobs should be created at downstream companies as they expand.
“Importing aluminium would have been too expensive for them so they couldn’t expand their operations until they could be sure that we would supply them with more metal,” Hall said.
Downstream expansions are not expected to result in more refined aluminium products than those already produced, but would allow the companies to produce more of the same goods.
“Because the Gulf’s population is so low, there is little demand for finished aluminium products in the region,” said Hall.
“Shipping costs for exporting more sophisticated products are much higher.”
A significant portion of Alba’s investment will be pumped into the local construction industry, which in turn provides a boost to the economy.
The ‘Training for Bahrain’ programme, launched jointly by Alba, the Labour and Social Affairs Ministry, Bechtel and local contractors, is helping to supply the local labour market with skilled Bahrainis.
Twenty-two people have completed the programme and over 100 others are currently enrolled. The ministry and Alba each pay 50 per cent of the trainees’ monthly BD125 ($332) allowance while they complete their three to six months of training.
They generally find employment with the sub-contractors working on the project, receiving a pay of at least BD170 a month. Some of the graduates have already gone on to start their own businesses, said Hall.
“The programme gives them skills, such as bricklaying, scaffolding and reinforced construction which they can use to find other work.”
The expansion is also expected to have a minimal effect on the environment due to the use of environmentally friendly technology.
“Obviously our emissions will increase but they will be controlled through the latest technologies for emission management,” said Hall.
While undergoing the Line 5 expansion, allowances were made for a possible Line 6 project down the road.
If it gets shareholders and government approval, Line 6 will increase Alba’s output even further and make it the largest aluminium smelter in the world.
Hall has no doubt that Alba will be able to find buyers for the extra aluminium because of its competitive advantage.
However, it is unclear whether the government would agree to the extra gas required from the Khuff gas field.
“That depends on the government’s strategic objectives and is beyond our scope of influence,” Hall said.