Bahrain Iron and Steel Company signed an agreement of intent with Essar Group

Recently, Bahrain Steel, a subsidiary of Bahrain’s Foulath Group, signed an agreement of intent with India’s Essar Group to supply pellets for the Green Steel Project (GSA) that Essar Group will build in Saudi Arabia.

Essar Group Green Steel Project (GSA) plans to invest approximately US$4.5 billion to build an integrated steel plant in Ras Al-Khair, Saudi Arabia. The project is expected to be put into operation in 2027, with an annual production capacity of 5 million tons of direct reduced iron (DRI), 4 million tons of hot-rolled sheets and 1 million tons of cold-rolled sheets. The project will be the first green steel project in Saudi Arabia, aiming to set a global benchmark for carbon dioxide emission reduction.

In the cooperation reached this time, Bahrain Iron and Steel Company is expected to provide 4 million tons of DR (direct reduction) grade pellets to Essar Group every year, guaranteeing 50% of the iron ore pellet supply for the project.

Bahrain Steel Company is the only pellet producer owned by the Cooperation Council for the Arab States of the Gulf (hereinafter referred to as the GCC), and it is also a leading supplier of high-quality DR grade pellets to all integrated steel producers in the region.

Commenting on the partnership, Dilip George, Chief Executive Officer of Foulath Group, said: “The partnership between Bahrain Steel and Essar Group aims to meet the growing demand for DR-grade pellets in the GCC steel industry. demand. We are honored to support Essar Group in building Saudi Arabia’s first green steel project.”