INTERVIEW-EMAL's plan to boost capacity on schedule-CEO

* EMAL on track to boost production * EMAL to reach full production capacity by end 2010 By Amena Bakr DUBAI, Oct 5 (Reuters) - Emirates Aluminium's (EMAL) plans to become the world's largest single aluminium smelter is on track, while it has secured deals to export the additional production globally, its chief executive said on Monday. Production from the first phase of the $5.7 billion project is expected to start by the end of the year and will reach full capacity of 700,000 metric tonnes of aluminum per year (tpy) by December 2010, Ducan Hedditch told Reuters. "We have reached the final stages of construction and we will gradually start ramping up production untill it reaches full capacity by the end of 2010," he said in a telephone interview. EMAL is a 50-50 joint venture between Dubai Aluminium Company Limited (DUBAL) and Mubadala Development Company (Mubadala), Abu Dhabi's investment vehicle. Emal is expected to be the world's largest single-site aluminium smelter complex with this project. The first phase of the project, located at Al Taweelah in Abu Dhabi, will have a capacity of more than 2,000 megawatts of electricity. The second phase will increase capacity to 1.4 million tonnes of aluminium per year and is expected to be completed in 2013-2014. The aluminium produced will be sold in the domesic market and exported to countries within the region, Europe and Asia, said Hedditch. "We already signed a number of contracts to export to countries in the region and Europe, and at a later stage we plan to export to North America," he said, adding capacity for the whole year had not yet been sold. The economic crisis has slowed construction projects around the world, reducing demand for aluminium used in many of these projects. The UAE's local demand is around 250,000 metric tonnes per year, said Hedditch. "I'm not worried about building inventory levels because we are looking at this project on the long term and I believe that global demand will pick up again." Once the company moves into the operational phase, Saeed Al Mazooei, a member of its technical and tender review committee, will become the new chief executive, while Hedditch will have an advisory role, the company said in a statement on Monday. (Editing by James Jukwey)