Meranti Green Steel has signed heads of terms with Marafiq-CUC for the supply of industrial water to its planned DRI/HBI plant in Duqm, Oman.
Under the agreement, Marafiq, the centralized utilities provider for the Duqm Special Economic Zone, will develop, finance, own and operate a new desalination plant in the Duqm Industrial Zone to support Meranti’s steel project.
The scope will also include the development and operation of associated pipeline, pumping and metering infrastructure to deliver industrial water to the DRI/HBI facility.
Meranti said a continuous supply of high-quality industrial water will be required during both commissioning and subsequent operation of the plant. The dedicated desalination infrastructure is therefore expected to form an important part of the project’s utility requirements in Duqm.
Meranti Green Steel is developing a 2.5 mln tons per year DRI/(HBI) plant in the Special Economic Zone at Duqm (SEZAD), with commissioning targeted for mid-2029. The company has also outlined plans for a second HBI module that would double total production capacity to 5 mln tons per year.