The material will be made using scrap and hydrogen-based hot briquetted iron (HBI) produced at Meranti’s Oman facility, processed through electric arc furnaces (EAFs) in Thailand.

Under a Memorandum of Understanding (MOU), Kingspan aims to move closer to its goal of using low-carbon steel across its manufacturing operations. The Irish multinational manufactures high-performance insulation and building envelope solutions.

Located on Thailand’s east coast, Meranti’s green steel plant is “on track” to break ground at the end of 2026, ahead of commissioning in 2029.

The site will use scrap and hydrogen-based HBI from Oman as feedstock, processed in EAFs powered increasingly by renewable electricity.

The HBI will be sourced from Meranti’s planned 2.5 million tonne per year hydrogen-based iron project in Duqm, Oman, which also targets a final investment decision (FID) in 2026 and commissioning by 2029.

By 2045, Meranti aims to reduce its steel carbon intensity by up to 90% compared to conventional blast furnace routes.

Through its network of strategic hubs, the Singaporean-headquartered company plans to deliver “seven to eight million tonnes per year” of green steel. It could expand into Indonesia, Western Australia and “further locations within the APAC region.”

Metanti’s Harold Quek said the deal with Kingspan represents a “significant step forward in building a resilient, future-ready industrial ecosystem that creates impact far beyond steelmaking.”

The preliminary agreement also signals rising momentum for green steel manufacturing in Southeast Asia.

Meranti’s planned Thai project is expected to become the region’s first major green steel plant, aligning with the country’s Bio-Circular-Green Economy model and regional Net Zero targets.