Officials from Jindal Shadeed Group, SEZAD and OPAZ during the signing ceremony.
Oman’s Jindal Shadeed Group, a pioneer in the steel industry, has selected the Special Economic Zone at Duqm (SEZAD) in order to establish a manufacturing facility.
Slated to be the largest of its kind within the zone to produce green steel, the factory will also utilize renewable energy sources in its manufacturing operations.
The Special Economic Zone at Duqm (SEZAD) is the largest economic zone in the Middle East, with an area of 2,000 square kilometers.
This strategic project is being built over an area estimated at approximately 2 square kilometers in the concession zone at the Port of Duqm with an investment value estimated at $3 billion.
In line with its development efforts, Jindal Shadeed Group also signed an MoU with the centralized utility provider, Marafiq, to provide the plant with the utilities necessary to operate the project such as water services, seawater for cooling purposes, and other Marafiq services.
Harssha Shetty CEO Jindal Shadeed Group
“Jindal Shadeed Group is investing more than 3 billion USD 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. Our goal is to produce 5 million metric tons of green steel on an annual basis that will create over $800 million per annum in-country value addition. The plant will supply high-quality steel products to the automobile, wind energy, and consumer durables sector amongst others. There is a booming demand for green steel from ESG-conscious customers around the world, especially in Europe and Asia, who have already committed to a significant reduction in Scope 3 emissions by 2030.”
His Excellency Eng. Ahmed bin Hassan Al Dheeb, Deputy Chairman of the Public Authority for Special Economic Zones and Free Zones, said that, “The signing of the MoU and agreement is a testament to the importance of the Special Economic Zone at Duqm and further reinstates its position as a leading and attractive destination for large strategic projects that will benefit from renewable energy and green hydrogen.”
“The efforts are in line with the priorities of Oman Vision 2040 to use alternative energy and sustainable natural resources. The project also serves the comprehensive national strategy which focuses on reducing emissions and achieving carbon neutrality,” Mr. Al Dheeb noted.
According to Port of Duqm CEO Mr. Reggy Vermeulen, “This is a great step for all of us, and we are thrilled to see such a project happen in Port of Duqm – a successful pairing of Jindal Shadeed Group’s expertise in steel production and Port of Duqm’s logistical prowess.”
“This green steel project aligns very well with Port of Duqm’s vision to be a green port operating on sustainable and renewable energy sources in line with the Oman vision 2040 to support economic diversification and reduce reliance on the oil and gas sector. This huge project will not only attract foreign investment but also provide work opportunities for local talent,” Mr. Vermeulen added.
Thank you very much for choosing GCC Business News to be an important part of your professional life. You will receive a confirmation e-mail. Please check SPAM or UPDATES folder
