The Kingdom’s Industrial Anchor
Aluminium Bahrain B.S.C. — known as Alba — is the world’s largest aluminium smelter outside China and the single most important industrial asset in the Kingdom of Bahrain. The company produces more than 1.6 million tonnes of primary aluminium annually, making it the kingdom’s largest non-oil export generator, its largest industrial employer, and the cornerstone of its manufacturing diversification strategy.
Founded in 1968, Alba predates the Economic Vision 2030 by four decades. The decision to invest in aluminium smelting represented Bahrain’s earliest major industrial diversification — a recognition, even in the late 1960s, that the kingdom’s oil reserves would not last indefinitely and that alternative industrial capacity would be needed.
Production and Capacity
Alba operates one of the most modern aluminium smelting operations in the world. The facility is located in the southern industrial area of Bahrain, adjacent to a dedicated power plant that supplies the substantial electricity required for the electrolytic reduction process.
Total production capacity: More than 1.6 million tonnes per year following the Line 6 expansion.
Line 6 expansion. Completed in 2021, the Line 6 expansion added approximately 540,000 tonnes of annual production capacity. The project represented an investment of approximately $3 billion — among the largest single capital investments in Bahrain’s history. Line 6 uses advanced reduction cell technology with industry-leading energy efficiency, reducing the carbon intensity per tonne of aluminium produced.
Production lines. Alba operates six potlines. The successive expansion from Line 1 through Line 6 over five decades charts the growth of Bahrain’s aluminium industry from a modest smelter to a global-scale operation.
Power supply. Aluminium smelting is energy-intensive. Alba operates its own power generation capacity, making it one of the largest electricity consumers in Bahrain. Natural gas, supplied from Bahrain’s domestic gas fields, is the primary fuel source.
Financial Performance
Alba is a publicly listed company on the Bahrain Bourse, with Mumtalakat — Bahrain’s sovereign wealth fund — as the majority shareholder. Sabic Investment Company (a subsidiary of Saudi Basic Industries Corporation) holds a significant minority stake.
The company’s revenue is driven by global aluminium prices, production volume, and the premium achieved for value-added products. Alba produces a range of primary aluminium products including standard ingots, rolling slabs, extrusion billets, foundry alloys, and liquid metal for downstream processors.
Revenue has historically ranged from $3 billion to $5 billion annually, depending on global aluminium market conditions. The London Metal Exchange aluminium price is the primary external determinant of financial performance. During periods of high aluminium prices, Alba generates substantial profits and dividends. During downturns, the company’s large fixed-cost base creates margin pressure.
Alba’s value-added products — including foundry alloys and specialty billets — command price premiums over standard ingot, providing a degree of insulation from commodity price volatility.
Employment
Alba is the largest single industrial employer in Bahrain. The company employs thousands of workers across smelting operations, power generation, maintenance, administration, and support functions. A significant proportion of employees are Bahraini nationals, making Alba one of the most important contributors to the Bahrainisation programme in the industrial sector.
The company invests in workforce development programmes, technical training, and professional development for Bahraini employees. Alba’s training centre provides vocational and technical education aligned with the specific skill requirements of aluminium smelting operations.
Downstream and Value Chain
Alba’s significance extends beyond primary smelting. The company anchors an aluminium value chain in Bahrain that includes:
Downstream processing. Several downstream aluminium processing companies operate in Bahrain, converting Alba’s primary aluminium into finished and semi-finished products including rolled products, extruded profiles, and cast components.
Export markets. Alba’s production serves global markets, with significant exports to Asia, Europe, and the Middle East. The company’s location — with access to Khalifa Bin Salman Port and Bahrain’s logistics infrastructure — supports cost-effective export operations.
Economic multiplier. Alba’s operations generate economic activity across supply chains, logistics, port operations, and support services. The multiplier effect of the smelter extends Alba’s contribution to GDP well beyond the company’s direct revenue and employment figures.
Environmental and Sustainability
Aluminium smelting is energy-intensive and generates greenhouse gas emissions from both energy consumption and the electrolytic reduction process. Alba has invested in emissions reduction, energy efficiency, and environmental management:
Line 6 technology. The Line 6 expansion uses advanced cell technology with lower energy consumption per tonne of aluminium produced, reducing the facility’s carbon intensity.
Spent potlining management. Alba has developed processing capabilities for spent potlining — a hazardous waste product of aluminium smelting — reducing landfill requirements and recovering usable materials.
Water and air quality. Environmental monitoring and management systems address air emissions, water discharge, and waste management across the facility.
The environmental dimension of Alba’s operations connects to the Economic Vision 2030’s sustainability principle and the society pillar’s aspiration for a sustainable living environment.
Strategic Significance
Alba is irreplaceable in Bahrain’s economic architecture. No other single company contributes as much to manufacturing GDP, non-oil exports, industrial employment, or economic diversification. The Line 6 expansion was not merely a capacity investment — it was a statement of long-term commitment to aluminium as a pillar of Bahrain’s post-oil economy.
The company’s performance is a bellwether for the vision’s economy pillar. If Alba operates profitably, expands its value-added product range, maintains employment levels, and manages environmental impacts, it validates the diversification strategy that Bahrain has pursued since 1968.
If global aluminium markets deteriorate structurally, or if energy costs rise beyond competitive thresholds, Alba’s position becomes more challenging — and with it, a significant portion of Bahrain’s non-oil economic base.