Some US$1.4 billion will be invested in the construction of Iran's largest aluminum factory in the western city of Nahavand, Hamedan province, Iran's Mining House announced on Sunday.
According to the English-language paper Iran Daily, the private sector will undertake investments in this project, which, once completed, will greatly increase Iran's aluminum production capacity. It further noted that the huge water reserves in the western city as well as easy access to raw materials prompted private enterprises to select Nahavand as the site of the factory.
The investment will be in the forms of buyback and BOT (build, operate, transfer), adding that once Bank Melli Iran approves the project, the implementation of the project will begin in April.
Experts assess that the 680,000-ton aluminum production target stipulated in the fourth five-year development plan (March 2005-2010) could be met easily given that several giant aluminum production units are up for privatization in the coming years.
