LKAB and Emirates Steel sign new long-term agreement

lkabEmirates Steel in Abu Dhabi, United Arab Emirates, has signed a seven-year purchase agreement with LKAB for delivery of one million tonnes of direct reduction pellets per year. Emirates Steel, a new customer for LKAB, is investing offensively in the latest technology to become a major steel producer in the Middle East.

“This agreement confirms that our products meet high demands on quality internationally. We are very pleased to be able to support the development of Emirates Steels via long-term delivery and collaboration,” says Lars-Eric Aaro, President and CEO, LKAB.

Emirates Steel is the largest steel producer in The United Arab Emirates (UAE). The company, formed in 1998, uses the latest technology in the manufacture of steel products for the construction market in i UAE and the Middle East. From LKAB the company buys DR pellets, a functional iron ore product that is specially adapted for steelmaking via the direct reduction route. In the direct reduction process natural gas is used, which reduces carbon dioxide emissions.