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India's Essar Group to build new steel plant in Saudi Arabia

Global holding Essar is preparing to invest $4 billion in the construction of a new steel plant in Saudi Arabia. The project, budgeted at 15 billion Saudi Riyals ($4 billion), is expected to start construction later this year and be operational by the end of 2025.

India's Essar Group to build new steel plant in Saudi Arabia

This state-of-the-art integrated flat steel plant will have an annual production capacity of 4 million tons. In addition to continuous casting and hot strip capabilities, it will also have a cold rolled coil capacity of 1 million tons and a tin plate line. The plant will be strategically located in Ras Al-Khair Industrial City on the east coast of Saudi Arabia.

In addition, the new plant will house two direct reduced iron plants, each with an impressive annual capacity of 2.5 million tons.

Essar signed a memorandum of understanding with Saudi Arabia's National Industrial Development Center (NIDC) in October 2021 and subsequently signed an agreement for land allocation with the Royal Commission for Jubail and Yanbu (RCJY) in December.

Essar Group, a private holding company, has investments worldwide in four key sectors: energy, metals and mining, infrastructure and EPC verticals. With an annual turnover of over $13 billion, the group plays an important role in global trade.

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