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MAEGMA Minerals announces partnership with Primetals Technologies

The plant, which will be established in cooperation with MAEGMA Minerals and Primetals Technologies, aims to produce low-carbon HBI in Southeast Asia with its structure that can run on natural gas and hydrogen.

MAEGMA Minerals announces partnership with Primetals Technologies

MAEGMA Minerals has entered into a technology partnership with Primetals Technologies for the new MIDREX Flex plant to be built in the Lumut region of Perak, Malaysia. Signed on May 6, 2025, the Memorandum of Understanding (MoU) is expected to have an annual production capacity of 2 million tons of hot briquetted iron (HBI).

Designed to meet MAEGMA's increasing demand for HBI in Southeast Asia, the plant is expected to be operational in 2029. MIDREX Flex technology, which will be provided in cooperation with Midrex Technologies, allows the use of natural gas and hydrogen in different ratios. The plant, which will initially operate with a natural gas-hydrogen mixture, will be able to produce with 100% hydrogen over time. This will reduce carbon emissions by more than 50% compared to blast furnace technologies.

The plant is stated to be equipped with hydrogen-compatible process equipment, with key components including a 7.15 meter diameter MIDREX Shaft Furnace and a 19-bay MIDREX Reformer with 280 mm diameter reformer tubes. In addition, tailings management will be optimized with conveyor systems that enable the reuse of fine ore residues.

Primetals Technologies will also provide the automation infrastructure for the plant. In addition to the basic Level 1 automation system, DRIpax software and digital solutions will be deployed for Level 2 process optimization. Natural gas for production will be sourced from a local supplier, while green hydrogen will be sourced from off-grid renewable sources and the planned solar park.

Pellet supply will be sourced through a mining company close to the MAEGMA site, providing efficiency in logistics costs. MAEGMA Minerals is a subsidiary of the Kuala Lumpur-based Melewar Group, one of Malaysia's leading industrial enterprises.

The agreement was signed by Primetals Technologies executives Friedemann Plaul and Andreas Viehboeck and Melewar Group executives YM Tunku Dato Yacoob Khyra and Uwe Ahrens.

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