Posted on 21 Aug 2025
Green Hydrogen – Meranti Green Steel Announces Strategic Green Iron Project in Oman
Oman – Meranti Green Steel has announced the launch of its green iron project in the Duqm Special Economic Zone, aiming to produce low-emission Direct Reduced Iron (DRI) and Hot Briquetted Iron (HBI) as part of the company’s global efforts to decarbonize the iron and steelmaking process.
This project is a key element of Meranti’s green steel strategy. The company plans to make a Final Investment Decision (FID) for the Duqm project by mid-2026, with construction to follow immediately thereafter. Commissioning of the facility is scheduled for mid-2029.
Meranti’s focus will be on utilizing a Natural Gas/ Green Hydrogen mix in line with Oman’s Energy Transition Plan. Over time, Meranti will use up to 85% of Green Hydrogen in its process, reducing CO2 emissions per ton of steel to below 200kg. Discussions with potential green hydrogen suppliers are already underway.
Meranti considers Oman to be the perfect location for this project due to its competitive energy resources, including cost-effective natural gas and a rapidly advancing green hydrogen ecosystem. The Duqm Special Economic Zone provides a robust infrastructure for the plant, with industrial land, deep-water port access, and efficient regulatory frameworks that enable fast-track development and global distribution. Oman’s location also facilitates cost-effective shipping to Meranti’s steel plant in Thailand and to European offtakers seeking low-emission HBI, reducing logistics costs and emissions.
Meranti has secured the relevant conditional gas allocation from Oman’s Integrated Gas Company (IGC) and is engaging with international financing partners, including KfW IPEX.
The Oman green iron project plays a pivotal role in Meranti’s integrated green steel value chain, supplying sustainable materials for the company’s Thailand steel plant and meeting the growing demand for HBI in Europe. The Oman project will help Meranti to achieve its goal to become a leader in green steel.
As the project progresses, Meranti is dedicated to being an active partner in the local community in Oman. Beyond production, the company will focus on building lasting relationships with local stakeholders, including universities and technical colleges. Meranti aims to enhance its business while supporting the broader economic and social development of Oman.
Source:Hydrogen Central
