Sabayek eyes Nomu listing, sells 40% of output locally: exec

Qusay Al Khalili, General Manager of Gulf Ferro Alloys Co. 

Gulf Ferro Alloys Co. (Sabayek) seeks to list its shares on the Nomu - Parallel Market, General Manager Qusay Al Khalili told Argaam in an exclusive.     

The company is currently developing its internal procedures and governance and preparing the offering’s regulatory requirements, Al Khalili said, adding that the company will likely go public by 2024.    

“We are producing 130,000 tons per annum (tpa) of ferroalloys, fulfilling demand for ferroalloys locally and in the GCC countries,” Al Khalili noted.    

He also indicated that Sabayek provides the local market with 30-40% of its production, while the remaining output is exported to the GCC, US and European markets.   

The recent events, including the COVID-19 outbreak and Russia’s invasion of Ukraine, led to severe market turbulences, pushing coal prices higher, Al Khalili stated, adding that higher energy prices and interest rates weighed on commodity prices, including steel and ferroalloys.  

Lower global demand for ferroalloys decreased prices by 40%, or expectedly 50% in H2 2022, due to the surplus in the Indian and Ukrainian factories, as some of them resort to dumping in different markets.   

In 2017, the GCC Secretariat General imposed definitive anti-dumping duties at 21% for 200 days.  

Sabayek ranks Saudi Arabia amongst the world’s largest 15 countries in production of the highest quality silico manganese. It is currently establishing an integrated production line to produce noble metals in partnership with Saudi Basic Industries Corp. (SABIC).

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