Oman’s Jindal Shadeed will invest over $3 bln in green steel plant

Oman-based long products steelmaker Jindal Shadeed Iron & Steel Oman plans to invest more than $3 billion to build a green steel plant in Oman, the company said on Sunday December 4

The green steel production facility, which will be built at the Special Economic Zone at Duqm (Sezad), Oman, will produce 5 million tonnes per year of green steel. It is planned to be completed in 2026, JSIS Oman said.

The plant will use renewable hydrogen-powered energy for steel production and will target the wind turbine, auto and consumer goods sectors across Europe, Japan and other countries.

Jindal Shadeed Group has also signed a memorandum of understanding (MoU) with centralized utility provider Marafiq to provide the utilities to operate the new mill.

“Jindal Shadeed Group is investing more than $3 billion to develop this mega steel project in Duqm, and we have already obtained the necessary approvals to secure the land for our Green Hydrogen ready steel project,” Harssha Shetty, chief executive officer of Jindal Shadeed Group, said in a statement.

“Our goal is to produce 5 million [tpy] of green steel that will create over $800 million [per year] in country value-addition. The plant will supply high-quality steel products to automobile, wind energy and consumer durables sector amongst others,” Shetty added.

The plant will be the biggest green steel investment in the Gulf Co-operation Council (GCC) countries.

Jindal Shadeed originally announced its plans to invest in a green hydrogen plant in April this year.

Jindal Shadeed operates a direct-reduced iron-electric-arc furnace steel complex in Oman. This includes a 1.8-million-tpy gas-based DRI plant that produces both hot DRI and hot briquetted iron, and a 2.4-million-tpy steel meltshop and a 1.4-million-tpy rebar rolling mill.

Earlier this month, the company also announced investment in a pelletizing plant.

What to read next
Here are the key takeaways from market participants on US ferrous scrap metal prices, market confidence, inventory and more from our November survey
Asian steel hot-rolled coil prices have had difficulty rising in recent weeks due to a number of major themes in the market, sources told Fastmarkets.
Jinnan Iron & Steel Group is the latest company to join the push to expand China's steelmaking footprint in the Middle East and is working with Brazil's Vale to establish an iron ore concentration plant at the Sohar Port and Freezone in Oman, Fastmarkets understands.
A new Chinese state-owned enterprise (SOE) called China Resources Recycling Group (CRRG) has been established to build a national platform for recycling and reusing resources, according to an announcement from Chinese officials on October 18. While details of the company's specific plans remain scarce, market participants remain concerned about weak market fundamentals, sources told Fastmarkets..
China’s domestic and export steel hot-rolled coil prices rose on Monday October 28, reflecting a robust performance in the futures market, but the upward price movement did not translate into increased demand.
Chinese stainless steel prices fell in the week ended Wednesday October 23 in both the domestic and export markets, in response to weak demand and lower-cost raw materials, sources told Fastmarkets