Foulath Subsidiary, Bahrain Steel, a leading producer and global supplier of high-grade iron-ore pellets, has partnered with multinational conglomerate Essar Group in the supply of iron ore pellets to the Green Steel Arabia (GSA) project through signing a letter of intent (LOI).
Through this partnership, Bahrain Steel will deliver 4 million tonnes of DR-grade pellets per annum (mtpa) to Essar Group. Bahrain Steel is the only GCC-owned pellet producer and leading supplier of high-quality DR-grade pellets to all integrated steel producers in the region.
The Essar project is set to be the region’s first Green Steel project aiming to set the global benchmark in the reduction of CO2. The project will have a direct reduced iron (DRI) capacity of 5.0 mtpa, comprising two modules of 2.50 mtpa each, and 4.0 mtpa hot strip capacity, as well as 1.0 million tonnes of cold rolling capacity along with galvanizing and tin plate lines. In line with the Kingdom’s ongoing demand for steel products and the targets set by Vision 2030, the facility will cater to all major steel-consuming industries including construction, oil & gas, automotive, packaging and general engineering.
Commenting on the partnership, Mr Dilip George, Group CEO of Foulath Holding, said: “We are proud to collaborate with Essar Group to support their pioneering project for setting up the first green steel project in Saudi Arabia, where there is a growing focus on sustainable development.”
