Magnum Mining & Exploration has entered into a shareholders’ agreement with Middle East for Metallic Industrial (Midmetal) to jointly develop a Green Pig Iron-making facility in Saudi Arabia. Through this partnership, Magnum will become a 50% owner of Midmetal by issuing half of Midmetal’s fully paid ordinary shares.
The Green Pig Iron-making facility will utilize HIsmelt technology and leverage high-grade magnetite concentrate from Magnum’s Buena Vista Iron Project in Nevada, along with mill waste from steel plants in the Arabian Gulf region. The project aims to utilize renewable biochar from Malaysian biomass as the iron reductant, potentially offering a cost-effective alternative to hydrogen-based methods.
Midmetal’s Saudi shareholders will contribute half of the development funding, and Magnum is in talks with potential investors for the remaining 50%, estimated at $410 million (A$616.89 million). The collaboration reflects a shared vision for the economic and sustainable development of the HIsmelt technology and Buena Vista Iron Project.