L&T to Build Pellet and DRI Plants for Leading Steel Producer in MENA

Team Finance Saathi

    04/Feb/2025

What's covered under the Article:

  1. L&T's Minerals & Metals business to develop Pellet and DRI Plants for a top steel producer in MENA.
  2. The project aligns with global decarbonisation efforts and strengthens L&T’s leadership in EPC steel solutions.
  3. The contract includes design, engineering, construction, and technology integration for the steel expansion.

Larsen & Toubro (L&T), a global leader in EPC projects, hi-tech manufacturing, and engineering solutions, has secured a major expansion project in the Middle East and North Africa (MENA) region. The company’s Minerals & Metals (M&M) business vertical will build a Pellet Plant and a Direct Reduction of Iron (DRI) Plant for a leading steel producer in the region.

This significant order is a key milestone in the ongoing global initiative toward decarbonisation, reinforcing L&T’s expertise in steel plant construction. The project will focus on deploying cutting-edge metallurgical technologies to enhance efficiency and sustainability in iron and steel manufacturing.

Scope of Work

L&T’s contract includes the design, engineering, supply, erection, and construction of the Pellet and DRI plants. These plants will be developed using globally acclaimed technologies, ensuring high efficiency, safety, and environmental compliance.

The Pellet Plant will process raw iron ore into high-quality iron pellets, which are essential in steel production. The DRI Plant will further refine these raw materials into direct reduced iron, a key input for low-carbon steel manufacturing. The steel industry is undergoing a major transformation to meet stringent emission reduction targets, and this project aligns with the push for sustainable production practices.

L&T’s Leadership in Steel Manufacturing Projects

L&T has an established track record of delivering large-scale EPC projects across mining, metallurgy, cement, steel, fertilisers, and ports. The company has played a critical role in executing landmark iron and steel plants globally, solidifying its leadership in metallurgical engineering and industrial infrastructure.

Speaking on the project, Mr. D.K. Sen, Executive Committee Member and Advisor to the CMD of L&T, stated:

“This reflects M&M’s leadership position in executing complex iron & steel plant projects in the MENA region. It further demonstrates our commitment to delivering high-quality projects that conform to international standards in quality, safety, and on-time completion.”

L&T’s M&M vertical continues to expand its presence in global industrial projects, offering end-to-end solutions across multiple sectors. Its growing portfolio includes steel, cement, construction, and mining projects, catering to diverse industries worldwide.

L&T’s Position in the Global EPC Market

With this new order, L&T reinforces its position as a key player in the global steel manufacturing sector. The company’s commitment to technological advancements and sustainable industrial solutions has made it a trusted partner for major steel producers worldwide.

The project falls under L&T’s "Major" category, which refers to contracts valued between ₹5,000 crore and ₹10,000 crore. This substantial order is expected to enhance L&T’s revenue and strengthen its footprint in the Middle East industrial market.

L&T’s continuous investments in innovation, sustainability, and high-performance engineering enable it to maintain a competitive edge in the global EPC sector. The company remains dedicated to driving industrial transformation and supporting decarbonisation initiatives in the steel industry.


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