POSCO Breaks Ground with HIC-Resistant Steel in Saudi Aramco's Fadhili Gas Plant Expansion
Key Ideas
  • POSCO to supply HIC-resistant steel for Fadhili Gas Plant Expansion by Saudi Aramco, boosting plant's capacity by 1.6 times.
  • POSCO becomes one of nine steelmakers globally certified by Aramco for HIC-resistant plant steel, challenging European dominance.
  • Korean manufacturers process the supplied HIC steel into components, enhancing Korea's plant equipment industry competitiveness.
  • Amid global trade uncertainties, POSCO aims to expand market presence by focusing on high-value, certified steel products for the energy sector.
POSCO, a South Korean steelmaker, announced its supply of Hydrogen Induced Cracking (HIC)-resistant steel for the Fadhili Gas Plant Expansion Project led by Saudi Aramco. The project, aimed at increasing the plant's gas processing capacity by 1.6 times, marks the first use of HIC-resistant steel designed for plant facilities in such a large-scale endeavor. This move challenges the traditional dominance of European manufacturers in the energy steel market due to Aramco's stringent standards. POSCO's certification by Aramco for HIC-resistant plant steel highlights the company's technological leadership and competitiveness in the sector. The supplied steel is being processed by Korean manufacturers, leading to a shift to domestic suppliers for crucial fabrication roles. Hyundai Steel Pipe, SeAH Steel, Bumhan Mecatec, and Taekwang are key players in this value chain. Amid global trade uncertainties, POSCO aims to focus on high-value, certified steel products to expand its market presence in the energy sector.
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