UC Rusal is supporting the construction a bauxite and alumina complex in Western Kalimantan in Indonesia, following the signing of a memorandum of cooperation with the Indonesian state-owned company Antam.


The agreement was signed in Jakarta during an official visit made by Russian president Vladimir Putin to Indonesia.


UC Rusal will hold a 51% stake in the new joint venture, with Antam holding the remaining share. During September, the two parties will form a working group that, aided by an independent advisor, will work together to confirm the bauxite reserves of the two selected deposits and complete the required documentation.
Following the findings of the working group, the JV partners are expecting to draft up the project’s preliminary technical and economic assessment in 2008.


The overall project budget will be drawn up by 2009, with construction beginning in the same year and the first alumina output scheduled for 2011.