MAEGMA Minerals signed a Memorandum of Understanding (MoU) with Primetals Technologies to establish a MIDREX Flex plant with a capacity of 2.0 million tons of HBI per year in Lumut, Perak, Malaysia. The new plant, provided in collaboration with Midrex Technologies, Inc. (Midrex), will enable MAEGMA to meet growing demand for high-quality merchant HBI in Southeast Asia. Operations are scheduled to begin in 2029.
The MIDREX Flex technology is designed to operate at different ratios of natural gas and hydrogen, up to 100% hydrogen. Initially, the plant will operate with a mix of natural gas and hydrogen, allowing for a carbon footprint reduction of more than 50% compared to traditional blast furnace-based ironmaking. It will feature hydrogen-ready equipment and piping, such as three stages of process gas compressors. Key components include a MIDREX Shaft Furnace with a 7.15-meter diameter and a 19-bay MIDREX Reformer with 280-millimeter reformer tubes.
This advanced technology solution offers both flexibility and performance, integrating state-of-the-art systems for efficient and sustainable production. Notable innovations include a conveyor system that reuses fine-ore residues from the briquetting process. Primetals Technologies will also supply a complete basic automation system (Level 1), an advanced process optimization system (Level 2) featuring the DRIpax expert system to ensure consistent high-quality HBI production, as well as additional digitalization solutions.
The plant will be powered by locally-sourced natural gas provided by a reputable gas supplier through the public grid, and by green hydrogen produced from off-grid renewable energy and a planned solar park.