MIGA issued its first guarantees in Bahrain to Harsco Corporation of the United States (for $3.0 million) and its wholly owned subsidiary, Harsco Bermuda Limited of the United Kingdom (for $2.8 million), for their respective loan and equity investments in the construction and operation of an aluminum dross processing plant to be located in Manama. MIGA guarantees cover the risk of war and civil disturbance.
The project enterprise, AluServ Middle East L.L., is a joint venture with Trans-Gulf Consult, a privately owned limited liability company in Bahrain. The project enterprise will process aluminum dross from metal that would otherwise be wasted, replacing costly imported aluminum. A majority of the construction material, equipment, and spare parts will be sourced within the country, benefiting local businesses. The project will create more than 30 permanent jobs for Bahraini nationals. In addition, the investment will save the country more than $15 million in annual foreign exchange by reducing the need for imported raw aluminum.