Europe
Building the world’s first large scale green steel plant
H2 Green Steel is building the most advanced large-scale, green steel plant in the world in Boden, Sweden. The plant is expected to be operational in 2026. H2 Green Steel (H2GS AB) was founded in 2020 with the ambition to accelerate the decarbonization of the steel industry, using green hydrogen. Steel, which is one of the world’s largest carbon dioxide emitters, is the company’s first business vertical.
Type of investment
H2 Green Steel
Country: Sweden
Fund: Hy24, Clean H2 Infra Fund. Participation as Lead Investor in €1.5bn funding round
Date: September 2023
Sector: Greenfield / Green Steel production
Links
Download the press release
H2 Green Steel is headquartered in Stockholm, Sweden, with its first green steel plant under development in Boden, Northern Sweden. This project is a trailblazer in decarbonization of hard-to-abate industrial sectors like steel.
The investment made through the "clean hydrogen infrastructure fund" will support H2 Green Steel’s ambition to materially reshape steel markets, providing a green alternative to consumers and manufacturers. This is part of our commitment to help industry get to net zero. Hy24 was lead investor in the €1.5bn private equity funding round closed in 2023 with the participation of other investors Altor, GIC and Just Climate. Today, H2 Green Steel has secured funding of close to €6.5 billion for building the world’s largest green steel plant in Boden.
Decarbonizing the steel industry
The plant will deliver steel with up to 95 percent less CO2 emissions compared to steel produced with traditional blast furnace technology.
This is made possible by replacing coal in the production process with hydrogen, produced on-site with Europe’s largest electrolyzer, using electricity from renewable sources. Next-generation technology and digitalization, along with an unmatched approach to both circularity and recycling will make the steel plant the first of its kind. The plant will use a 700 MW electrolyzer provided by Thyssenkrupp Nucera, a Direct Iron Reduction running on 100% H2 using MidRex technology, and a mini mill supplied by SMS.
Building Europe’s largest electrolyser
“Hydrogen has the potential to significantly reduce emissions in several industries that have been considered hard-to-abate. In building a future hydrogen economy, competence and experience will be key. The electrolysis plant we are building in Boden will be over 20 times bigger than most electrolyzer installations that exist today and will be an inspiration for many hydrogen plants to come.”
Key figures
95%
less CO2 emissions compared to traditional steel production
+€6Bn
raised for building the world’s largest green steel plant in Boden
2026
Commencing commercial operation of the Boden plant