Middle East’s leading integrated steel plant, Emirates Steel will associate with Société Nationale Industrielle Et Minière (SNIM), Mauritania’s national industrial and mining company to explore the possibility of forming a joint venture to manufacture iron oxide pellets.
The 18-month agreement was signed by Emirates Steel CEO Mr. Saeed Ghumran Al Remeithi and Mr. Mohamed Vall Ould Telmidy, CEO of SNIM.
Under this agreement, both companies will study joint plans to produce iron oxide pellets, the primary feedstock required for Direct Reduction steel plants.
Commenting on the agreement, Mr. Al Remeithi stated that “The collaboration with SNIM is aligned with the goals of the UAE’s Industrial Strategy to enhance self-sufficiency. Increasing the production of quality metals and materials will support national industries and foster a vibrant export hub that will further strengthen our presence in the 50 countries around the world that import Emirate Steel products.”
“By investing in the production of this essential raw material, we are also securing a steady supply of feedstock that will shield us against global raw material market volatility and fuel our ambitious growth plans to expand our product range to include flat steel.” Mr. Al Remeithi added.
Meanwhile, Mr. Mohamed Telmidy remarked that “The groundbreaking MoU with Emirates Steel will help pave the way for significant investments that will be mutually beneficial and which will support the overall industry and local communities in the UAE and Mauritania.”
SNIM CEO further added that “Iron pelletizing projects in the Middle East and North Africa will accelerate the development of the regional steel industry and enhance its competitiveness regionally and globally. At 1.5 billion tones, Mauritania has the largest iron reserves in the Arab world and Africa and we are very keen to establish strategic partnerships that allow us to take advantage of our mineral wealth in the most optimal manner.”
