Glencore’s Gary Nagle secures Oman green steel offtake deal

Glencore Plc, the Swiss mining and commodity trading giant led by South African executive Gary Nagle, has agreed to buy at least 500,000 tons a year of hot briquetted iron from a planned plant in Oman, locking in long-term supply of a lower-carbon steelmaking input from 2030. 

The offtake agreement with Meranti Green Steel allows Glencore to purchase between 500,000 and 1.25 million tons annually, according to the project’s developer. Meranti Chief Executive Officer Sebastian Langendorf said about two-thirds of the plant’s output is expected to go to European steelmakers seeking to cut emissions in their supply chains. 

Meranti signs HBI offtake, green steel push

Meranti has already signed separate offtake deals with INTERFER Global Steel Trading and INTERFER Austria. Thyssenkrupp Materials Services is also in discussions to secure volumes from the project, the company said, underscoring rising demand for alternative iron feedstock as steel producers face tighter climate targets. 

Hot briquetted iron is used in electric arc furnaces and is seen as a cleaner substitute for traditional blast furnace inputs when produced with lower-carbon energy. Meranti plans to rely on a mix of natural gas and green hydrogen, placing the project among a growing wave of green steel initiatives in the Middle East.

Strategy under Gary Nagle 

Under Nagle, Glencore has continued to run one of the world’s largest commodity trading and mining businesses while sharpening its focus on materials linked to the energy transition. The company is a major supplier of copper, nickel and cobalt, metals widely used in electric vehicles, batteries and renewable energy systems. 

In December 2025, Glencore agreed to acquire a majority stake in Dutch fuel company FincoEnergies, a move aimed at expanding its exposure to low-carbon and renewable fuels. The group has also held talks in recent weeks about a possible combination with Rio Tinto.

Such a deal, if completed, would create a mining company valued at more than $260 billion, one of the largest ever in the sector. Any merger would reflect mounting pressure on miners to scale up production of metals critical to electrification while managing costs and capital discipline. 

Middle East role in green steel 

Meranti’s Oman project highlights the region’s ambition to play a larger role in cleaner industrial supply chains. Access to energy, infrastructure and export routes has helped position the Middle East as a potential hub for lower-carbon steel inputs, as global producers look beyond traditional sources to meet climate and supply needs.