EMSTEEL, one of the region’s largest steel and building materials manufacturers, has secured strategic agreements to enhance raw material transport and cross-border rail connectivity. This move strengthens economic cooperation between the UAE and Oman while promoting sustainable industrial growth.
Boosting Cross-Border Rail Logistics
A key agreement with Hafeet Rail Infrastructure LLC, the region’s first cross-border railway, will streamline limestone and red shale transport for EMSTEEL’s cement production. Hafeet Rail will develop an integrated logistics system to optimize supply chain operations.
EMSTEEL will manage the Rail Transfer Facility in Al Ain, UAE, with advanced unloading stations, conveyor systems, and stockpile management. This ensures a smooth flow of raw materials from Oman. The agreement allows the transport of up to 4.2 million tonnes annually, with an initial 15-year term and an option to extend for another 15 years.
Strengthening Economic and Environmental Goals
This partnership provides mutual benefits. EMSTEEL secures a stable, cost-effective supply chain, while Hafeet Rail strengthens its role in sustainable industrial transport. The initiative aligns with the UAE’s Operation 300bn strategy and Oman’s Vision 2040, focusing on industrial diversification and environmental responsibility.
Enhancing Mineral Sourcing
EMSTEEL has also partnered with Minerals Development Oman (MDO) to oversee mineral sourcing and quality control. MDO will ensure compliance with EMSTEEL’s strict production standards. This collaboration supports Oman’s efforts to leverage its natural resources for industrial growth.
Saeed Ghumran Al Remeithi, Group CEO of EMSTEEL, emphasized the agreement’s impact, stating, “This partnership secures a reliable and sustainable supply chain for our cement unit while strengthening UAE-Oman economic ties.”
Eng. Mattar Al Badi, CEO of MDO, added, “Our collaboration with EMSTEEL through the Hafeet Rail Project unlocks new opportunities for Oman’s mining and downstream industries while advancing sustainability.”
Reducing Carbon Emissions
Shifting transport from roads to rail will significantly cut emissions, supporting sustainability efforts in both nations. This initiative enhances industrial logistics while creating an environmentally responsible supply chain.