Reuters reported that Brazil's Votorantim Group has signed a deal to join Trinidad and Tobago's government owned Alutrint in a project to build 125,000 tonnes per year aluminium smelter in the Caribbean nation.

A Votorantim official said that the Brazilian industrial conglomerate replaces Venezuela based aluminium producer Sural which had 40% stake in the Trinidad project but withdrew due to financing problems earlier 2009.

Trinidad and Tobago government has a 60% stake in the smelter project.

Mr Marco Palmieri director of Votorantim Metais Aluminium Business said that "The project that is being signed with the government of Trinidad and Tobago unites the conditions to make this aluminium smelter one of the most competitive in the world, using the state of the art technology being provided by the Chinese."

Officials said that China Exim Bank is providing a credit facility of USD 400 million for construction of the project whose main contractor is CMEC also of China. The smelter complex is estimated to cost between USD 500 million and USD 600 million.

Mr Leroy Mayers chairman of Alutrint said that Trinidad and Tobago stands to benefit from increasing demand for aluminium products. He said that "It has become the world's second most used metal after steel.

(Sourced from Reuters)