The second phase, which includes a bauxite mine at Al-Baitha and an alumina refinery at Ras Al-Khair, will cost SR13.445bn billion.
The PIF loan will be repaid over 16 years, starting in 2017.
The project, a joint venture between Maaden and Alcoa, is being built in two phases, both of which are now under construction.
The first phase consists of an aluminium smelter and rolling mill, both situated at Ras Al-Khair, which will begin operating in 2013.
The mine and refinery are due to come on stream in 2014.
Maaden’s aluminum project is the only one in the Middle East with an integral supply of alumina and its rolling mill will be one of the most technologically advanced in the world and the only one in the region capable of producing food grade can sheet.
In its initial phases, the joint venture will develop a fully integrated industrial complex, including a bauxite mine with an initial capacity of 4Mt/y, an alumina refinery with an initial capacity of 1.8Mt/y, an aluminum smelter with an initial capacity of 740kt/y and a rolling mill, with initial capacity of 380kt/y.
First commercial production from smelter and mill is scheduled for 2013. First production from the mine and refinery is set for 2014.