Two plants designed to spur the development of shipbuilding through domestic Saudi steel production, with a combined value of $4.6bn, are to be set up at the King Salman Global Maritime Industries Complex.

bdullah Al-Ahmari, CEO of International Maritime Industries (IMI), was quoted as saying this week that a planned new steel plate plant would cost $2.6bn, with investment in a second facility an additional $2bn.

“We expect to attract additional direct investments of nearly $4.6 billion for the construction of steel plates and drilling equipment plants,” Middle East news aggregator Zawya quoted Ahmari as saying to the Saudi Arabic language daily Aliqtisadia on Monday.

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Ahmari said work on the plant at Ras Al-Khair, on the kingdom’s northeast coast, was progressing on schedule, adding that the Saudi government had contributed $3.8bn to support the project.

Ras Al Khair is also site of the Saudi Arabian Mining Co. (Maaden) aluminium smelter, which saw production of nearly 1.8 million tonnes of smelter grade alumina in 2019. That year, Maaden announced a SAR52bn ($13bn) plan to build its third phosphate facility.

Source: Seatrade Maritme News