Oman-based Sun Metals is set to award key contracts for the development of a 2.5 million tonnes per annum (MTPA) capacity steel plant project estimated at $400 million in the Sultanate, said a report.

The company has partnered with South Korean engineering and construction giant Posco for the integrated steel mill project at Sur Industrial Estate, reported the Oman Observer.

Additionally, Japanese trading conglomerate Sojitz Corporation has been roped in as the product offtaker, it added.

As an international-scale project, the Sur steel mill will feature two electric arc furnaces, two ladle refining furnaces, one billet caster, and one billet cum bloom caster. Also integrated with the project will be 1.2 MTPA TMT rebar mill and a 1.1 MTPA merchant mill.

The construction work on the Sur plant is expected to begin within three months, the report added.