DUBAI, Sept 17 (Reuters) - Dubai Aluminium Co (Dubal) said on Saturday it had signed $3.6 billion deal with India's Larsen & Toubro (LART.BO: Quote, Profile, Research) for a bauxite mine and alumina refinery and smelter in the Indian state of Orissa.

State-owned Dubal, which has one of the largest aluminium smelters in the world, will have a 74 percent share in the project to supply materials to Dubal, the United Arab Emirates company said.

Engineering and construction firm Larsen will have 26 percent.

Phase one of the facility will have a 1.5 million tonne capacity and cost $1.1 billion to build. Construction will begin in 2007 and the factory will come on line in 2009, a statement said.

"The project will ensure supply of around 1 million tonnes of alumina per annum -- the principal raw material needed for Dubal," it said, referring to phase one.

Phase two, involving an aluminium smelter, will add another 1.5 million tonnes per year at a cost of $2.5 billion. The statement did not say when it would be finished.