Essar Ras Al Khair steel plant

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Essar Ras Al Khair steel plant is a steel plant in Ras Al-Khair, Eastern Province, Saudi Arabia that operates direct reduced iron (DRI) and electric arc furnace (EAF) technology.

Location

The map below shows the approximate location of the plant in Ras Al-Khair, Eastern Province, Saudi Arabia:

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  • Location: Ras Al-Khair, Industrial City, Eastern Province, Saudi Arabia
  • Coordinates (WGS 84): 27.544749, 49.208103 (approximate)

Background

The Essar Ras Al-Khair steel plant is an announced plant with an expected start date of 2028.[1] In 2023, the company announced a partnership with Vale International to supply iron ore agglomerates for the plant. The Essar plant aims to be the first green steel initiatve in Saudi Arabia. It will consist of a direct reduced iron (DRI) capacity of 5.0 million tonnes per annum (mtpa), comprising two modules of 2.50 mtpa each. Furthermore, the project will include a hot strip capacity of 4.0 mtpa, along with 1.0 million tonnes of cold rolling capacity, as well as galvanizing and tin plate lines.[2]

Plant Details

Table 1: General Plant Details

Announced date Construction date Start date Power source
2021-10[3] 2024[4] 2028[3][5] Renewables[6]

Table 2: Ownership and Parent Company Information

Parent company Parent company PermID Parent company GEM ID Owner Owner company PermID Owner company GEM ID
Triton Trust; Virgo Trust unknown; unknown E100002004743; E100002004742 Essar Global Fund Ltd [100%][7] 5000026125 E100000000510 [100%]

Table 3: Process and Products

Steel product category Steel products Main production equipment
semi-finished, finished rolled[8] slab, coil[8] DRI; EAF

Table 4: Plant-level Crude Steel Production Capacities (thousand tonnes per annum)

1Please see our Frequently Asked Questions page for an explanation of the different capacity operating statuses.
Capacity operating status1 Electric arc furnace steelmaking capacity Nominal crude steel capacity (total)
announced 4000[3][7] 4000[3][7]

Table 5: Plant-level Crude Iron Production Capacities (thousand tonnes per annum)

1Please see our Frequently Asked Questions page for an explanation of the different capacity operating statuses.
Capacity operating status1 Sponge iron/DRI capacity Nominal iron capacity (total)
announced 5000[3][9][6] 5000[3][9][6]

Table 6: Upstream Products Production Capacities (thousand tonnes per annum)

Ferronickel Sinter Coke Pellets
NF NF NF NF

Unit Details

Table 7: Direct Reduced Iron Furnace Details

Unit name Status Start date Furnace type Current capacity (ttpa) Reductant
unknown DRI (1) announced[9] 2027[10] shaft furnace[11][12] 2500[3][9][6] methane[9]
unknown DRI (2) announced[9] 2027[10] shaft furnace[13] 2500[3][9][6] methane[9]

Table 8: Electric Arc Furnace Details

Unit name Status Current capacity (ttpa)
unknown EAF (1) announced[14][9][4] 2000[3][7]
unknown EAF (2) announced[14][9][4] 2000[3][7]

Table 9: Electric Arc Furnace Feedstock Details

Unit name Scrap-based % DRI
unknown EAF (1) no[15][3] 100.00[15][3]
unknown EAF (2) no[15][3] 100.00[15][3]

Articles and Resources

Additional data

To access additional data, including an interactive map of steel power plants, a downloadable dataset, and summary data, please visit the Global Iron and Steel Tracker on the Global Energy Monitor website.

References

  1. "USD 4.5 Billion Steel Plant to Be Established in Ras Al Khair". SecneNow. Retrieved 2024-11-18.
  2. "Vale International enters into a LOI for Supplying Iron Ore Agglomerates to Essar Group's KSA Green Steel Project - Essar". Essar. 2023-09-07. Retrieved 2023-09-29.
  3. 3.00 3.01 3.02 3.03 3.04 3.05 3.06 3.07 3.08 3.09 3.10 3.11 3.12 3.13 https://web.archive.org/web/20240125063350/https://www.essar.com/essar-eyes-end-2025-saudi-plant-commissioning/. Archived from the original on 2024-01-25. {{cite web}}: Missing or empty |title= (help)
  4. 4.0 4.1 4.2 https://web.archive.org/web/20231031104647/https://www.bloomberg.com/news/articles/2023-10-25/essar-to-start-work-on-4-billion-saudi-steel-plant-from-2024. Archived from the original on 2023-10-31. {{cite web}}: Missing or empty |title= (help)
  5. https://scenenow.com/Buzz/USD-4-5-Billion-Steel-Plant-to-Be-Established-in-Ras-Al-Khair. {{cite web}}: Missing or empty |title= (help)
  6. 6.0 6.1 6.2 6.3 6.4 https://www.essar.com/inthenews/essar-group-and-desert-technologies-sign-mou-for-developing-renewable-energy-solutions-for-essars-ksa-green-steel-arabia-project/. {{cite web}}: Missing or empty |title= (help)
  7. 7.0 7.1 7.2 7.3 7.4 https://www.aist.org/news/steel-news/2021/december/essar-group-completes-land-deal-for-saudi-arabian. {{cite web}}: Missing or empty |title= (help)
  8. 8.0 8.1 https://web.archive.org/web/20211225155422/https://metalexpert.com/en/news/htmlinetnewsbus?head=Saudi-Arabia-takes-decisive-step-in-development-of-new-flat-steel-production-complex&unid=1920114708EB4C54C22587AD007D32D0Q. Archived from the original on 2021-12-25. {{cite web}}: Missing or empty |title= (help)
  9. 9.0 9.1 9.2 9.3 9.4 9.5 9.6 9.7 9.8 9.9 https://web.archive.org/web/20240124204531/https://ieefa.org/media/4116/download?attachment. Archived from the original on 2024-01-24. {{cite web}}: Missing or empty |title= (help)
  10. 10.0 10.1 https://www.essar.com/inthenews/essar-secures-100-raw-material-supply-for-saudi-steel-plant/. {{cite web}}: Missing or empty |title= (help)
  11. https://www.essar.com/inthenews/foulath-subsidiary-bahrain-steel-signs-loi-for-iron-ore-pellet-supply-to-essar-groups-ksa-green-steel-project/. {{cite web}}: Missing or empty |title= (help)
  12. https://www.constructionworld.in/steel-news/essar-nears-final-approval-for-4.5-billion-saudi-steel-plant/57947. {{cite web}}: Missing or empty |title= (help)
  13. https://gulfconstructiononline.com/Article/1628385/Essar_to_build_$45bn_steel_plant. {{cite web}}: Missing or empty |title= (help)
  14. 14.0 14.1 https://www.kallanish.com/en/news/steel/market-reports/article-details/saudi-arabia-allocates-land-for-hrc-plant-1221/. {{cite web}}: Missing or empty |title= (help)
  15. 15.0 15.1 15.2 15.3 https://www.essar.com/essar-secures-100-raw-material-supply-for-saudi-steel-plant/. {{cite web}}: Missing or empty |title= (help)

Resources