Meranti Green Steel, a leading industrial group in Singapore, has announced the launch of its green iron project in the Duqm Special Economic Zone, aiming to produce low-emission direct reduced iron (DRI) and hot briquetted iron (HBI) as part of the company’s global efforts to decarbonise the iron and steelmaking process. 

 

Unveiling the project, Meranti said it is a key element of the group’s green steel strategy. 

 

The company plans to make a Final Investment Decision (FID) for the Duqm project by mid-2026, with construction to follow immediately thereafter. Commissioning of the facility is scheduled for mid-2029. 

 

Meranti’s focus will be on utilising a Natural Gas/ Green Hydrogen mix in line with Oman’s Energy Transition Plan.

 

Over time, Meranti will use up to 85% of Green Hydrogen in its process, reducing CO2 emissions per ton of steel to below 200kg. Discussions with potential green hydrogen suppliers are already underway, said the statement. 

 

Meranti considers Oman to be the perfect location for this project due to its competitive energy resources, including cost-effective natural gas and a rapidly advancing green hydrogen ecosystem. 

 

The Duqm Special Economic Zone provides a robust infrastructure for the plant, with industrial land, deep-water port access, and efficient regulatory frameworks that enable fast-track development and global distribution. 

 

Oman’s location also facilitates cost-effective shipping to Meranti’s steel plant in Thailand and to European offtakers seeking low-emission HBI, reducing logistics costs and emissions, it stated. 

 

Meranti has secured the relevant conditional gas allocation from Oman’s Integrated Gas Company (IGC) and is engaging with international financing partners, including KfW IPEX. 

 

The Oman green iron project plays a pivotal role in Meranti’s integrated green steel value chain, supplying sustainable materials for the company’s Thailand steel plant and meeting the growing demand for HBI in Europe. The Oman project will help Meranti to achieve its goal to become a leader in green steel, it added.-TradeArabia News Service