Baotou Aluminium Co. in China and Aluminium Pechiney in France have reached an agreement for the construction of a new production unit for high-purity aluminum at Baotou, the region of Inner Mongolia. Aluminium Pechiney and Baotou Aluminium should have a respective ownership of 51% and 49% of the joint-venture company. The total amount of the investment is estimated at USD 13 million. The construction of the new factory is expected to start in Fall 2003, and first production in October 2004 with an initial production capacity of 5,000 tons of 4N aluminum.