4:53 pm - February 17, 2026

Dammam, Saudi Arabia: Strataphy partners with Al-Ittefaq Steel Products Company to deploy pioneering geothermal cooling technology, reducing energy use and carbon emissions in steel manufacturing in line with Saudi Vision 2030 goals, using a Cooling as a Service model to transform industrial sustainability.

Strataphy, a pioneering geothermal cooling startup, has entered into a significant partnership with Al-Ittefaq Steel Products Company (ISPC), the largest private steel manufacturer in the Middle East, to deploy its innovative geothermal cooling technology at ISPC’s steel manufacturing facilities. This collaboration marks a forward step in addressing the substantial energy demands and carbon emissions traditionally associated with the steel industry by introducing geothermal-powered Cooling as a Service (CAS) to enhance sustainability and operational efficiency.

The steel manufacturing sector is notoriously energy-intensive and difficult to decarbonize, presenting a persistent challenge in global efforts to reduce industrial carbon footprints. ISPC’s Deputy COO, Abdul Hadi A Al Yousef, highlighted this difficulty while affirming the company’s commitment to transformative change: “This partnership is a bold step toward transforming how we manage thermal loads in our operations. By adopting Strataphy’s cutting-edge geothermal technology, we are not only reducing costs but also demonstrating leadership in industrial sustainability.” Complementing this view, ISPC’s Senior Manager Ayaz Rizwan Khan pointed out the alignment of this initiative with Saudi Arabia’s Vision 2030 sustainability goals, emphasising the need for reliable, large-scale cooling solutions in their plants.

Strataphy’s PrimeLoop system, integrated with its patent-pending Smart IoT GeoExchange technology, utilises steady subsurface temperatures to provide continuous, energy-efficient cooling. The technology achieves a Coefficient of Performance (COP) exceeding 5, which is more than twice the efficiency of conventional HVAC systems. Through the CAS model, Strataphy offers this advanced cooling solution without upfront capital expenditure, converting what would traditionally be a large CAPEX item into a predictable operational expense. This model not only reduces initial financial barriers but also guarantees consistent performance and measurable environmental benefits.

Ammar Alali, CEO of Strataphy, elaborated on the strategic vision behind their service approach: “Heavy industries like steel production are the backbone of economic growth, but they are also among the hardest to decarbonize. With our CAS model, we are shifting geothermal cooling systems from a CapEx line item to a competitive and reduced OpEx; and this allows Strataphy to deliver predictable revenue while significantly lowering ISPC’s environmental footprint.” Strataphy’s COO, Ahmed Alhani, further emphasised the industrial-grade reliability and versatility of their technology, noting its suitability across various sectors from heavy industry to data centres, with the potential to reduce electricity use by half and lower spatial footprints by 30%.

ISPC, founded in 1989 and headquartered in Dammam, Saudi Arabia, has built a reputation for advanced production methods and sustainability leadership in the region’s steel manufacturing sector. It operates fully integrated facilities with modern rolling mills and melt shops, producing a range of products including billets, bars, and structural sections, which serve domestic and international markets. The company’s commitment to sustainability and energy efficiency aligns closely with Saudi Arabia’s Vision 2030, which targets reduced carbon emissions and the promotion of localized manufacturing through innovation and technological collaboration.

Strataphy itself represents a new wave of geothermal technology companies. Beyond the partnership with ISPC, the company has conducted multiple successful geothermal drilling and testing campaigns across Saudi Arabia. These efforts aim to reduce electricity consumption for cooling by up to 50%, cut CO₂ emissions substantially, and support energy security in the region. Strataphy plans to commission the first fully operational geothermal cooling system in Saudi Arabia within the current year, with ambitions to scale to over 15 MW-th of geothermal cooling capacity in the next three years and reach 50 MW-th within five years.

Their geothermal solutions are part of a broader vision to make industrial cooling more sustainable and economically viable. By offering a comprehensive service—from feasibility and engineering to installation and long-term maintenance—Strataphy eliminates traditional barriers to geothermal adoption. Their emphasis on scalable, efficient cooling technologies under a subscription-based CAS model underscores a shift in how industrial cooling can be delivered, particularly in hard-to-abate sectors like steel manufacturing.

This partnership with ISPC is among the first high-profile industrial applications of Strataphy’s technology, showcasing how geothermal cooling can contribute meaningfully to the decarbonisation of heavy industry. It also sits alongside other projects, such as deployments in hospital facilities, demonstrating the versatility and reliability of geothermal cooling under rigorous operational demands.

As Saudi Arabia and the broader MENA region intensify efforts to curb emissions and increase energy efficiency, initiatives like this are gaining importance. Strataphy’s geothermal cooling presents a promising path toward sustainable industrial operations, fitting well with national strategies and global environmental goals. This collaboration not only stands as a commitment to cleaner industrial practices but could serve as a blueprint for the adoption of similar technologies in comparable sectors worldwide.

Source: Noah Wire Services

More on this

  1. https://www.thinkgeoenergy.com/strataphy-partners-with-al-ittefaq-steel-to-deploy-geothermal-cooling-in-steel-manufacturing/ – Please view link – unable to able to access data
  2. https://www.strataphy.com/ – Strataphy is a company specialising in geothermal cooling solutions, offering end-to-end services including feasibility studies, engineering, drilling, system design, installation, and long-term operations and maintenance. Their proprietary technology, PrimeLoop, combined with the Cooling as a Service (CAS) model, provides sustainable cooling without upfront investments, aiming to reduce electricity consumption by up to 40% and carbon footprints by up to 40%. Strataphy operates primarily in Saudi Arabia and the MENA region, with plans to expand into the US and beyond by late 2025.
  3. https://www.ispc.com.sa/default.aspx – Al-Ittefaq Steel Products Company (ISPC) is the largest private steel manufacturer in the Middle East, producing a range of products including billets, deformed rebar, and plain wire rods. Established in 1989 and headquartered in Dammam, Saudi Arabia, ISPC operates fully integrated facilities with modern rolling mills, melt shops, and downstream operations. The company is committed to sustainability and has achieved certifications in sustainability and responsible sourcing, aligning with Saudi Arabia’s Vision 2030 by driving localized manufacturing and low-carbon initiatives.
  4. https://www.thinkgeoenergy.com/strataphy-partners-with-al-ittefaq-steel-to-deploy-geothermal-cooling-in-steel-manufacturing/ – Strataphy has partnered with Al-Ittefaq Steel Products Company (ISPC) to introduce geothermal-powered Cooling as a Service (CAS) for ISPC’s facilities in the Middle East. This collaboration aims to reduce carbon emissions and enhance energy efficiency in the steel manufacturing sector, which is known for its high energy consumption. Strataphy’s PrimeLoop system, combined with its Smart IoT GeoExchange technology, leverages subsurface temperatures to provide continuous cooling with a Coefficient of Performance (COP) above 5, more than twice that of conventional HVAC systems. The CAS model eliminates upfront capital requirements, offering predictable operational costs and measurable environmental benefits.
  5. https://www.thinkgeoenergy.com/strataphy-completes-multiple-geothermal-drilling-and-testing-campaigns-in-saudi-arabia/ – Strataphy has completed multiple geothermal drilling and testing campaigns in Saudi Arabia, marking significant progress in the adoption of geothermal cooling solutions in the region. These campaigns aim to reduce electricity consumption for cooling by up to 50%, lower CO₂ emissions, and enhance energy security. Strataphy plans to commission the first fully operational geothermal cooling system in Saudi Arabia before the end of the year, with additional projects slated to begin in 2025, targeting over 15 MW-th of geothermal cooling capacity within three years and 50 MW-th within five years.
  6. https://www.thinkgeoenergy.com/strataphy-to-deploy-geothermal-cooling-technology-in-hospital-in-riyadh-saudi-arabia/ – Strataphy has partnered with Naba Alsaha Hospital to deploy its proprietary geothermal cooling technology in a new hospital complex in Riyadh, Saudi Arabia. This project highlights how geothermal technology can meet the strict reliability and operational demands of the healthcare sector while significantly reducing grid impact and carbon emissions. Strataphy’s PrimeLoop technology, a patent-pending geothermal hybrid architecture, uses subsurface temperatures to deliver continuous and efficient building cooling, operating silently and consistently with a Coefficient of Performance (COP) over 5, more than double that of conventional methods.
  7. https://www.thinkgeoenergy.com/geothermal-cooling-as-a-service-startup-announces-launch/ – Strataphy has officially launched, offering geothermal cooling under a Cooling as a Service (CAS) model with an initial focus in Saudi Arabia and the MENA region. The company leverages proprietary, patent-pending completion and system design technologies, enabling installations in diverse geological formations and making shallow geothermal cooling widely applicable. Strataphy operates in the MENA region, with expansion plans into the US and beyond by late 2025, aiming to provide sustainable and cost-effective cooling solutions that significantly reduce carbon emissions and energy consumption.

Noah Fact Check Pro

The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.

Freshness check

Score:
8

Notes:
The narrative was first published on August 3, 2025, and has been republished across various outlets, including MENAFN and EIN Presswire. ([menafn.com](https://menafn.com/1109879125/Al-Ittefaq-Steel-Partners-With-Strataphy-To-Boost-Efficiency-Cut-Costs-And-Lower-CO2-Emissions-With-Geothermal-Cooling?utm_source=openai)) The content appears to be based on a press release, which typically warrants a high freshness score. No earlier versions with different figures, dates, or quotes were found. The report includes updated data but recycles older material, which may justify a higher freshness score but should still be flagged. No substantially similar content was found more than 7 days earlier.

Quotes check

Score:
9

Notes:
The direct quotes from Abdul Hadi A Al Yousef, Ayaz Rizwan Khan, Ammar Alali, and Ahmed Alhani appear to be original, with no identical matches found in earlier material. This suggests potentially original or exclusive content. No variations in quote wording were noted.

Source reliability

Score:
7

Notes:
The narrative originates from a press release, which is a common practice for companies to disseminate information. While press releases can provide timely and direct information, they may also present a biased perspective. The report mentions Strataphy and Al-Ittefaq Steel Products Company (ISPC), both of which have verifiable online presences. However, the reliance on a single source without independent verification from other reputable outlets introduces some uncertainty.

Plausability check

Score:
8

Notes:
The claims about deploying geothermal cooling technology in steel manufacturing facilities are plausible, given the increasing interest in sustainable industrial practices. The report aligns with Saudi Arabia’s Vision 2030 sustainability goals, which aim to reduce carbon emissions and promote energy efficiency. The technology’s efficiency, with a Coefficient of Performance exceeding 5, is consistent with known advancements in geothermal cooling. The language and tone are consistent with corporate communications, and the structure focuses on the partnership and technological details without excessive or off-topic information.

Overall assessment

Verdict (FAIL, OPEN, PASS): OPEN

Confidence (LOW, MEDIUM, HIGH): MEDIUM

Summary:
The narrative presents a plausible and timely development regarding Strataphy’s partnership with Al-Ittefaq Steel to implement geothermal cooling in steel manufacturing. While the content appears original and aligns with known technological advancements and sustainability goals, the reliance on a single press release without independent verification from other reputable outlets introduces some uncertainty. Therefore, further confirmation from additional sources is recommended to fully substantiate the claims.

Reporting from the intersection of environment, policy, and innovation. We bring you verified, insightful climate coverage from the Middle East and beyond.

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