The Emirates Arkan Steel Group signed a memorandum of understanding with the Department of Economic Development in Abu Dhabi and the Japanese Company Itochu Corporation to conduct the necessary studies to establish an integrated Complex for low-carbon iron production in Abu Dhabi.
The new Complex, which Emirates Steel Arkan intends to develop in partnership with Itochu and with help from the Department of Economic Development in Abu Dhabi, aims to play a vital role in the global supply chain for low-carbon iron products. In addition, it stimulates sustainable growth in the local supply chain for low-carbon iron and supports the strategic initiative to achieve climate neutrality by 2050 in the country.
Engineer Saeed Ghumran Al Remeithi, CEO of Emirates Steel Arkan Group, said, “As part of our commitment to collaborate with industry leaders who share our ambitions to provide low-emission solutions to the global steel industry, we are proud to partner again with Itochu to establish the first low-carbon iron production Complex in Abu Dhabi. The cooperation supported by the Department of Economic Development in Abu Dhabi will enable us to meet the growing demand for environmentally friendly steel products and strengthen the sustainable industrial sector system in the UAE”.
Engineer Arafat Al Yafei, Executive Director of the Industrial Development Office of the Economic Development Department, said, “This partnership is in line with the COP28 Conference objectives to support the climate neutrality achievement and the Abu Dhabi Industrial Strategy that seek to strengthen the industrial sector through the value chains development for targeted sectors such as transport and machinery subsectors. Our cooperation with the Emirates Steel Group Arkan and Itochu stimulates the manufacturing sector, and strengthens its relations with international investors, which helps establish Abu Dhabi as the most competitive industrial activity centre.”
For his part, Kenji Otsuka, CEO of Itochu Corporation in the Middle East, said, “We are proud to participate in the efforts to create a low-carbon supply chain for iron products, which will reduce the carbon footprint and contribute to promoting the global iron and steel industries towards a more environmentally friendly sector.”
Itochu will be responsible for the high-quality iron ores supply through a commercial and investment network built over decades.
For its part, Emirates Steel Arkan Group will benefit from the experience of successful operation of the direct reduction plant equipped with carbon capture, storage and use capabilities, which enhances the capture of carbon efforts. However, GFE Steel Corporation will use the iron raw materials produced by this project as raw materials for the steel industry, which will promote the reduction of carbon dioxide emissions reduction.
Emirates Steel Arkan Group signed a memorandum of understanding with the Norwegian company DNV for risk management and quality assurance on the sidelines of the 10th National Dialogue for Climate Ambition, held on May 30.
The memorandum provides cooperation on various initiatives for the two parties, such as steel industry decarbonisation. As well as environmental, social and corporate governance practices and energy transition. This partnership reflects the commitment of the Emirates Steel Arkan Group to lead the sector towards achieving climate neutrality and promoting sustainable practices in line with the strategic initiative to achieve climate neutrality by 2050 in the country.
