Alba Q1 2013 Results

FOR IMMEDIATE RELEASE

MANAMA (ALBH)

Aluminium Bahrain B.S.C (Alba) presents its financial results as per the International Financial Reporting Standards (IFRS) accounting rules. All investors and reporters are asked to read Alba's First Quarter 2013 Unaudited Financial Statements posted at www.albasmelter.com

Alba's results for the First Quarter of 2013 are summarised below:

Alba Reports Q1 2013 Results

·; Q1 2013: Aluminium physical demand remains healthy

·; Q1 2013: Sustained focus to increase creep capacity without significant investment

·; Q1 2013: Alba safety achieves 4 million hours without Lost Time Injury (LTI)

Q1 2013 Industry Highlights

·; World consumption up by 6% year-on-year (YoY) while world market production rose by 5% as compared to Q1 2012 and is expected to grow with Greenfield projects ramp-up in the Middle East (Ma'aden), Malaysia and India

·; Asian demand propelled by China (+11% YoY) and India (+7% YoY); MENA consumption continues to grow (+5% YoY) supported by large infrastructure spending in Saudi Arabia and Qatar. North America demand up by 2% YoY thanks to new investments in extrusion industry while Europe demand still weak due to a fall in automotive production

·; The LME cash average was at US$ 2,001 metric tonnes (mt) in Q1 2013 compared to US$ 2,177 mt for the same period last year

Q1 2013 Alba Highlights

·; Improved Safety performance, Alba achieved 4 million hours without an LTI

·; Alba increased its sales and production by 2.2% and 3% respectively

·; Sales of Value-Added products reached 66% of total shipments versus 62% in Q1 2012

·; Successful completion of US$ 169 million local bond facility refinancing

Q1 2013 Financial Results

Alba's sales for the first quarter of 2013 reached US$ 498 million (BD 187.1 million), up by US$ 2 million from US$ 496 million (BD 186.4 million) in Q1 2012 due to strong physical premiums and favourable management performance despite low LME prices. The company has registered a Net Income of US$ 108 million (BD 40.5 million) vs. US$ 57 million (BD 21.3 million) for the same period in 2012 - an increase of 89% YoY.

In March 2013, Alba paid US$ 52 million (BD 19.8 million) as the final dividend for 2012 bringing the total dividend for 2012 to US$ 105 million (BD 39.6 million).

2013 Alba Priorities

·; Continuous focus on Safety improvement

·; Maintain Value-Added Sales and leverage 2nd half premium negotiations

·; Increase creep capacity with minimal capital investment

·; Line 6 expansion project

 Aluminium Bahrain B.S.C. (Alba) announced the release of its first quarter 2013 results on Tuesday, May 7, 2013.

Commenting on Q1 2013 results, Alba's Chief Executive, Tim Murray said:

"Alba was able to deliver a solid quarterly financial performance despite tough LME market conditions. We were able to capitalize on a significant increase in product premiums on the back of a strong operational performance."

The Chairman of Alba's Board of Directors, Mahmood Hashim Al Kooheji added:

"The company's focus on strengthening its competitive edge through operational improvement has led to a big jump in production which contributed directly to the bottom line.

I would also like to express my sincere appreciation to the team at Alba for their efforts to improve overall safety performance."

Alba's Chief Executive Officer, Tim Murray, Acting Chief Finance & Supply Officer, Ali Al Baqali and Investor Relations Manager, Eline Hilal will be will be holding a conference call on Wednesday May 8, 2013 to discuss Alba's performance for the first quarter of 2013 as well as outline the company's priorities for the remainder of this year.

ENDS

Note:

Alba has been consistently ranked as one of the largest aluminium smelters in the world, and is known for its technological strength, global competitiveness and innovative policies. Alba produces more than 890,000 metric tonnes per annum of aluminium which meet or exceed the industry standard for purity, with products including standard and T-ingots, extrusion billets, rolling slab, properzi ingots, and molten aluminium. It has also maintained a strong track record of operational safety and environmental compliance.

For further details, please contact Investor Relations Manager, Eline Hilal:

Tel: (973) 17 835100 (direct)

Fax: (973) 17 833822

E-mail: [email protected]

Date: May 07, 2013