Singapore-based steelmaker Meranti Green Steel (MGS) is evaluating downstream steel investments alongside its low-carbon iron project in Duqm, Oman, CEO Dr. Sebastian Langendorf said in a statement to local media.
The company is advancing its first-phase investment, a 2.5 million mt hot briquetted iron (HBI) plant in the Duqm Special Economic Zone. A Final Investment Decision (FID) is expected in the third quarter of the year, with commercial operations projected to begin in early 2030.
Downstream plans under evaluation
According to Dr. Langendorf, Meranti Green Steel is evaluating potential downstream activities as part of its long-term strategy, including the production of semi-finished products such as slabs and flat steel. However, these plans remain conditional on several external factors, including geopolitical developments, trade measures such as tariffs and quotas, and global market trends.
He stated that infrastructure considerations, particularly the availability of stable electricity, alongside domestic and export market opportunities, are key elements in determining the feasibility of downstream production. He added that, while it is still too early to draw firm conclusions, semi-finished products represent a promising direction.
Growth potential and expansion plans
Meranti sees long-term demand growth in East Africa and India, supported by demographic and economic factors. Regarding the Duqm project, a second phase is being considered, though no timeline has been set. Dr. Langendorf noted that expansion will depend on local conditions, including gas availability, which is currently secured only for the first phase.