H2 Green Steel has agreed with Marcegaglia on the supply of green steel for €1.79 billion

H2 Green Steel has agreed with Marcegaglia on the supply of green steel for €1.79 billion shutterstock
Katerina Belousova

Marcegaglia sees H2 Green Steel as a key partner in decarbonisation

The Italian steel group Marcegaglia and H2 Green Steel, Sweden, have signed a seven-year green steel supply agreement worth €1.79 billion.

Marcegaglia is an investor in H2 Green Steel and the first customer of the products, according to H2 Green Steel.

The material said that green steel from the H2 Green Steel plant in Boden, Sweden, will be supplied to Marcegaglia enterprises in Southern Europe, Great Britain and Poland.

"We believe in a partnership approach in business, and we have adopted it from day one of working with H2 Green Steel, as they are a key player for us in our decarbonisation journey, which is essentially about securing the future of our business," said the chairman of the Board and CEO of Marcegaglia Steel, Antonio Marchegaglia.

Marcegaglia is said to have 37 steel plants on three continents. And the company H2 Green Steel, which was founded in 2020, aims to decarbonize the steel industry thanks to green hydrogen. After all, steel industry is one of the world's largest sources of carbon emissions.

Earlier EcoPolitic wrote that the Swedish company H2 Green Steel signed a framework agreement with Fortum regarding the supply of carbon-free energy for the steel plant in Boden.

As EcoPolitiс reported earlier, research within the framework of the HYBRIT project showed that iron obtained by direct reduction (DRI) with hydrogen has better properties and quality. Such iron is highly metallized and has better mechanical and aging properties than traditional iron.

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