Steelinvest and Meranti Green Steel Offtake Partnership Announcement

Apr 9, 2024

Singapore, April 08, 2024 – Steelinvest NV, a leading international commodity trading group, and Meranti Green Steel Pte. Ltd., a pioneering company in sustainable steel production in APAC, have formalised a strategic Memorandum of Understanding (MOU) aimed at the distribution of Green Hot Rolled Coils (Green HRC). 

The MOU, effective 8  April 2024, lays the foundation for both companies to collaborate on the marketing and distribution of Meranti’s green steel. Meranti's green steel plans involve leveraging renewable energy sources and advanced iron reduction processes to minimize the carbon footprint in steel production. The partnership with Steelinvest is expected to enhance market access and facilitate the growth of Meranti's Green HRC brand internationally.

Steelinvest NV, with its leadership and expertise in commodity trading and logistics management, will play a pivotal role in promoting Meranti's Green HRC across strategic markets. Additionally, Steelinvest will explore trade finance opportunities to facilitate the flow of Green HRC to end-users, by providing essential working capital support to both Meranti and its customers.

Meranti will collaborate closely with Steelinvest on branding and marketing initiatives to ensure the successful launch of the Green HRC product line in international markets, complementing existing partnerships.

Commenting on the collaboration, Vincent Cobbaert, owner & CEO of  Steelinvest NV stated, “This MOU is a major step for our group in its mission to become a specialist in the decarbonization of the global steel industry.  We are fully conscious of the importance of this collaboration with a new green steel producer in one of the major steel-consuming global market areas.  We look forward to being an active participant, providing a high-level service to both Meranti and our customers."

Harold Quek, VP of Business Development of Meranti Green Steel Pte. Ltd., remarked, “We are very excited to add Steelinvest to our trusted group of offtake partners for our future Green HRC. Steelinvest is a leader in international steel trading, and we share a commitment to sustainability and next-generation green steel”.

The MOU outlines a clear framework for collaboration, encompassing various aspects such as market expansion including volume targets, financing support, and mutual sharing of resources.