Meranti Green Steel has announced that it has secured full offtake coverage for the first module of its green hot briquetted iron (HBI) production from its new iron plant in the Duqm Special Economic Zone in Oman, marking a key commercial milestone for the project.

The offtake agreements cover the company's full planned module 1 capacity of 2.5Mt/yr of HBI, allocated across four core partners: 1Mt/yr to Thyssenkrupp Materials Trading, 0.25Mt/yr to INTERFER Edelstahl & INTERFER Austria and the remaining balance to Glencore and Meranti’s new Rayong steel plant in Thailand, supporting the ramp-up of Meranti's green hot rolled coil production. The offtake agreements include allocation of additional volumes among the four off-takers for a potential second HBI module in Oman, subject to certain conditions being met.

Distribution among off-takers is structured as follows: Thyssenkrupp Materials Trading will focus on Germany, Belgium, and the Netherlands; INTERFER Edelstahl & INTERFER Austria will focus on Italy and Austria; and Glencore will focus on other countries.

Meranti claims that these long-term offtake arrangements underpin the commercial viability of the company’s green HBI project in Oman and support further progress toward the Final Investment Decision (FID) which is planned for mid-2026. The offtake agreements include key commercial terms including pricing frameworks, product specifications, and delivery start and duration.

"Meranti’s green HBI is produced in Oman using natural gas and a portion of green hydrogen and, it is claimed, provides steelmakers with a transportable low-CO₂ iron unit suitable for Electric Arc Furnace (EAF) steelmaking."

Meranti’s green HBI is produced in Oman using natural gas and a portion of green hydrogen and, it is claimed, provides steelmakers with a transportable low-CO₂ iron unit suitable for Electric Arc Furnace (EAF) steelmaking. Oman’s competitive energy costs, access to renewable power, local raw material processing, and supportive regulatory framework enable scalable, cost-competitive low-carbon iron production.

By supplying green HBI through a diversified offtake structure that includes global traders, MGS believes that it ensures broad market access to low-CO₂ iron units, including smaller EAF producers. The company's approach supports decarbonization across both integrated and EAF steelmaking routes, while maintaining supply reliability, flexibility, and cost efficiency.

Meranti Green Steel (MGS), headquartered in Singapore, is decarbonising the steel industry through a value chain model that decouples iron making from steelmaking. By producing certified green Hot Briquetted Iron (HBI) in Oman and completing green steel production in Thailand, MGS claims that it delivers high quality steel products with low carbon intensity, while maintaining cost competitiveness.