The investment arm of Abu Dhabi emirate, Mubadala Development Co, said on June 14 work will begin on June 29 to build a factory to produce composite parts for aircraft, to become operational in 2010.
Mubadala said that the project, called Strata, has already agreed deals to supply parts to manufacturers including Europe's EADS and Airbus, FACC of Austria and Italy's Finmeccanica subsidiary Alenia Aeronautica.
"Initial contracts valued at more than two billion dollars have already been agreed with these partners," the statement said.
Mubadala said the new factory would mainly produce light-weight composite wing parts for airbrakes, aelerons and fairings. Its planned opening is the third quarter of 2010.
It aimed to promote an aeronautic sector in Abu Dhabi, capital of the seven-member UAE federation and its richest member.
Ross Bradley, formerly chief executive of the Farnborough Aerospace Consortium in Britain, has been named Strata chairman.
Copyright Agence France-Presse, 2009