PIF, Red Sea Aluminium Agree Initial Terms for Integrated Aluminum Complex in Saudi Arabia

Riyadh, Jan. 14, 2026 - Saudi Arabia’s Public Investment Fund and Red Sea Aluminium Holdings have agreed initial terms to develop an advanced, fully integrated downstream aluminum complex in the western city of Yanbu, as the kingdom steps up efforts to localize industrial supply chains and expand export-oriented manufacturing.

The proposed project, to be developed by Red Sea Aluminium Industrial an entity owned by RSAH will introduce advanced smelting technologies to the Saudi market and include one of the Middle East’s largest continuous-casting facilities, targeting high-value aluminum products for domestic and global customers.

Red Sea Aluminium Holdings is a joint venture between Innovation Global Industries, Innovation New Materials and China-based Shandong Innovation Group.

The agreement was announced on the sidelines of the Future Minerals Forum in Riyadh and aligns with PIF’s broader strategy to deepen industrial capacity, attract foreign investment and strengthen the kingdom’s metals and mining ecosystem as part of its economic diversification agenda.

“PIF continues to build globally competitive industrial platforms that support Saudi Arabia’s economic transformation,” said Mohammed AlDawood, who leads the fund’s industrials and mining investments. The project is expected to help secure supplies of downstream aluminum products for both local and international markets, he said.

Tom Northover, an executive board director at RSAH, said the Yanbu complex is designed to position the company as a global downstream aluminum producer integrated into Saudi Arabia’s industrial and energy base. He added that the partnership reflects growing international confidence in the kingdom as a hub for advanced manufacturing.

The project will complement PIF’s investments across sectors including automotive, power and utilities, electronics and construction. RSAH’s shareholders rank among the world’s largest downstream aluminum producers, with experience developing large-scale industrial clusters.

In addition to manufacturing, the partnership includes plans to support workforce development through technical training, skills programs and exposure to international best practices.

The agreement remains subject to final documentation, regulatory approvals and the fulfillment of customary conditions.