Bahrain’s Ahmed Mansoor Al-A’ali Company (Ama) is to build a $200m steel mini-mill at the kingdom’s Hidd Industrial Estate.

The mini-mill will consist of a steel shop, billet caster and rebar rolling mill and will have a capacity of 500,000 tonnes-a-year (t/y) of steel when it is completed.

“[Ama] is currently applying for environmental permits for the plant,” a source tells MEED. “Once that is sorted out then the necessary building permits can be issued.

“When [Ama] gets the permits construction work will take between 20 to 22 months to complete. There is only an electric arc furnace to worry about so I can’t see there being too many problems,” he adds.

Ama is mostly known in Bahrain as a construction contractor and the company plans to use up to 50 per cent of the steel rebar, reinforcing steel bars used in the construction industry, it produces.

“Ama’s construction arm will be responsible for building the plant and talks are currently taking place between major steel technology providers regarding equipment,” the source says.

Germany’s SMS Group, Italy’s Danieli and Austria’s Siemens Steel have all entered into talks with Ama regarding equipment supply.