The oil-rich Kingdom is eyeing changing into an electrical automobile manufacturing hub, manufacturing greater than 3 lakh automobiles yearly by 2030. Essar is seeking to faucet into the demand for metal for such automobiles in addition to for different shopper items industries. The Essar plant will take three to three-and-a-half years to construct.
Essar, which turned debt-free two years in the past after promoting some infrastructure belongings, is investing in decarbonisation tasks and inexperienced mobility to gas the subsequent development part.
The Saudi plant will likely be Essar Group’s first metal undertaking outdoors India. The metals-to-infrastructure conglomerate earlier owned and operated an built-in metal plant in Hazira, Gujarat, which it misplaced to ArcelorMittal in an insolvency battle.
The work on the undertaking will begin after receiving all the mandatory approvals, Ruia mentioned, including that the corporate already has the land for the multibillion-dollar undertaking.
As per extra data offered by Essar Group, the built-in metal undertaking will likely be executed by its arm, Inexperienced Metal Arabia, over a land parcel of 1000 acres in Ras Al-Khair province of Saudi Arabia at an estimated complete undertaking value of USD 4.5 billion.
The plant will combine gas-based direct diminished iron (DRI) and electrical arc furnace (EAF) know-how to cater primarily to the native wants of Saudi Arabia.
Essar additionally plans to put money into establishing two devoted berths at Ras Al-Khair port, solely for its metal undertaking.
Ruia additionally hoped for a re-entry into the Indian metal trade. He mentioned the group is searching for an applicable time to make its entry into the Indian metal trade.
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Video and Textual content Credit score: PTI
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