Saudi Arabia to build iron and steel projects worth $9.31bn

Bandar Al Khorayef reveals the Kingdom plans to build three projects in the iron and steel sector with a combined production capacity of 6.2m tonnes

Saudi Arabia plans to build three projects in the iron and steel sectors with a combined production capacity of 6.2m tonnes, according to a top government official. The total value of the projects is estimated to be US $9.31bn.

According to a Saudi Press Agency report which quoted Bandar Al Khorayef, Saudi Minister of Industry and Mineral Resources, one of the projects is an integrated iron sheet production complex with a capacity of 1.2m tonnes a year. Once complete, it will support the shipbuilding, oil platform and oil reservoirs manufacturing sectors.

In March 2022, Doosan Heavy Industries and Construction broke ground on a 400,000sqm forging and casting facility in Saudi Arabia.

He added that the ministry is working with local and international investors to establish a variety of investment opportunities in these sectors in the Kingdom.

Making the announcement during a speech at the Saudi International Iron and Steel Conference, Al Khorayef said that another project is being negotiated with international investors. He said that it entails the building of an integrated iron surface production complex with an annual capacity of four million tonnes of hot rolled iron, and one million tonnes of cold rolled iron, as well as 200,000t of tin-plated iron and other products. The complex will serve the automotive, food packaging, household appliances, and water transportation pipe sectors, Al Khorayef stated.

In August, Johnson Arabia completed works on a calcined petroleum coke plant in Oman.

Finally, a factory will be established to produce circular iron blocks with an estimated production capacity of one million tonnes per year. It will be the main introduction to the oil and gas industry’s unwelded iron pipes, the report concluded.

In September, JO Steel Holdings said that it had secured $692mn credit to set up a steel plant in Saudi Arabia.


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