H2 Green Steel raises more than €4 billion

H2 Green Steel is driving one of the largest climate impact initiatives globally. The company was founded in 2020 with the purpose to decarbonise hard-to-abate industries, starting by producing steel with up to 95% lower CO₂ emissions than steel made with coke-fired blast furnaces. The construction of the flagship green steel plant in Boden, Sweden, with integrated green hydrogen and green iron production, is well under way. The supply contracts for the hydrogen, iron and steel equipment are in place. A large portion of the electricity needed has been secured in long-term power purchase agreements, and half of the initial yearly volumes of 2.5 million t of near zero steel have been sold in binding five- to seven-year customer agreements.

The company has signed debt financing of €4.2 billion, added equity of close to €300 million and been awarded a €250 million grant from the EU Innovation Fund. Funding amounts to €6.5 billion in total. H2 Green Steel has also raised close to €300 million more in equity, bringing the private placement in the project to a total of €2.1 billion. New shareholders include Microsoft Climate Innovation Fund, Mubea and Siemens Financial Services. Additionally, IMAS Foundation and Just Climate are some of the existing shareholders which are increasing their investments in H2 Green Steel.

Read the article online at: https://www.globalhydrogenreview.com/hydrogen/22012024/h2-green-steel-raises-more-than-4-billion/