UAE-based Arabian Gulf Steel Industries (AGSI) has secured an AED 126 mln (USD 34.3 mln) sustainable financing facility from Mashreq Bank, bolstering its transition toward greener industrial practices in alignment with UAE Vision 2030.
As one of the UAE’s first steel producers to obtain a green loan linked to emissions targets, AGSI is setting a benchmark for integrating sustainability into industrial financing. Verified by global certification firm DNV, AGSI reports ultra-low emissions of 0.13 tons of CO2 per ton of crude steel. The company aims to produce 5 mln tons of green steel by 2030 and cut emissions by 95pct compared to traditional steelmaking.
The facility will fund efficiency-driven, eco-friendly projects and accelerate the adoption of green technologies. These initiatives are expected to reduce energy use and operational costs over time.
AGSI is the UAE’s largest private steelmaker and recycler, using local recycled materials and mostly renewable energy. It has already eliminated over 7.28 mln tons of CO2 emissions and is committed to maintaining net-zero emissions per ton of steel through 2035 and beyond.
The company’s current production capacity includes 450,000 tons of billet, 360,000 tons of rebar, and 240,000 tons of light and medium sections annually.
1 USD / 3.67 AED
