France's Pechiney to forge new alliances with Venezuelan Guayana Corporation (CVG)
<a href=www.vheadline.com>Venezuela's Electronic News Posted: Tuesday, May 20, 2003 By: David Coleman
Venezuelan Guayana Corporation (CVG) officials have announced that French Pechiney executives have expressed intent to set up a new alumina processing plant in Venezuela for which 200 tonnes of bauxite will be required. CVG president, Major General (ret.) Francisco Rangel Gomez says a precondition of agreement is that the bauxite should be processed locally, adding greatly to its overall viability.
Studies of potential demand for alumina on international markets have brought about Pechiney's interest in a new strategic association with the CVG to modernize and enlarge production capacity at CVG Bauxilum. Rangel Gomez points out that discussions have been focused on a feasibility study as the basis of future business, apart from an existing 6 strategic alliances contracts ... he emphasizes that any association between the CVG and Pechiney will be framed within Guayana regional policy with the sole purpose of changing industry conditions, not only in the export of raw materials but in adding value to resources in a step by step approach.
"We have asked Pechiney to speed up the feasibility study for the new plant to produce 1,000,000 metric tonnes of bauxite, since we consider that Venezuela is making advantages available to compete in international markets. In the near future, we will be setting up a timetable to determine bauxite quality and volume. Pechiney is to evaluate the possibility of a location in Caicara del Orinoco, which ties in with the construction of a 3rd bridge over the Rio Orinoco (between Caicara and Cabruta) which will provide easy access to a developing center in the Orinoco-Apure Axis."
Pechiney representatives says they're satisfied with CVG Bauxilum's progress and achievements, adding that they have in mind two investments in “red mud” storage ... the first earmarked for keeping actual levels while the second is for storing dry material. As to CVG Alcasa's Line 5, a feasibility study is being carried out on engineering work and highlighting the importance of commercial relations for the main raw materials.