Image: Fanjianhua via Freepik
The Middle East’s leading integrated steel plant – and the UAE’s largest non-oil company -Emirates Steel, signed a preliminary agreement with Mauritanian mining company, the Société Nationale Industrielle Et Minière (SNIM), for the establishment of a joint venture (JV) company to produce iron oxide pellets.
Representing the primary feedstock in the value chain of steel production, the strategic partnership will enable Mauritania to capitalize on its abundant mineral wealth while ensuring a secure supply of feedstock for Emirates Steel.
“At 1.5 billion tons, Mauritania has the largest iron reserves in the Arab world and Africa, and we are very keen to establish strategic partnerships that allow us to take advantage of our mineral wealth in the most optimal manner,” stated Mohamed Telmidy, Chief Executive of SNIM.
The agreement was signed on February 22, 2022 and will cover a period of 18 months. With Mauritania holding the largest iron reserves in both Africa and the Arab world – estimated at 1.5 billion tons – the partnership will enhance production and bring in much-needed foreign currency for Mauritania.
“Increasing the production of quality metals and materials will support national industries and foster a vibrant export hub that will further strengthen our presence in the 50 countries around the world that import Emirate Steel products,” stated Saeed Al Remeithi, Group Chief Executive of Arkan and Chief Executive of Emirates Steel, adding that, “By investing in the production of this essential raw material, we are also securing a steady supply of feedstock that will shield us against global raw material market volatility and fuel our ambitious growth plans to expand our product range to include flat steel.”
SNIM recorded a turnover of $1.23 billion for 2020 and contributes to Mauritania’s GDP by 11%.
MSGBC Oil, Gas & POWER 2022
Under the patronage of H.E. Macky Sall, President of the Republic of Senegal, MSGBC Oil, Gas & Power will once again take place in Dakar, Senegal, with the event serving as a catalyst for investment and multi-sector development in 2022. To find out more visit msgbcoilgasandpower.com or contact [email protected].
