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[Ferro-Alloys.com] Nel ASA’s Nel Hydrogen Electrolyser has entered into collaboration for a fossil free hydrogen facility in Hofors in Sweden, together with partners Ovako, Volvo, Hitachi ABB and H2 Green Steel. The initiative will focus on developing a fossil-free steel production facility, with the intention of taking the first step towards creating a future hydrogen infrastructure for the transport sector. The investment of approximately SEK 180 million is supported by the Swedish Energy Agency via the Industriklivet initiative and will create significant benefits for wider society from multiple perspectives.

 

The conversion to hydrogen will enable reduction of CO2 emissions for steel production in Hofors by 50% from already low levels. The plant can be used flexibly and can therefore support the stability of the electrical grid, which in turn will permit more use of renewable energy sources. Additionally, it will be a step in the direction of developing a hydrogen infrastructure for the transportation sector, with locally produced fossil-free hydrogen for fuel cell vehicle trucks.

 

Nel is a global, dedicated hydrogen company, delivering optimal solutions to produce, store, and distribute hydrogen from renewable energy. We serve industries, energy, and gas companies with leading hydrogen technology.

 

H2 Green Steel will be a large scale steel producer based on a fossil-free manufacturing process targeting large European OEMs. H2GS will be located in the Boden-Luleå region in northern Sweden that offers unique conditions for fossil-free steel production. The project includes a giga-scale green hydrogen plant as an integrated part of the steel production facility. Production will begin in 2024 and by 2030, H2GS will have annual production capacity of five million tons of high-quality steel. H2GS is built on the experience and lessons learned from the establishment of Northvolt. This initiative has been developed in close collaboration between Vargas, and several strategic and financial investors that are global leaders in sustainability and digitalisation. H2GS has raised USD 105 million in Series A equity. The Series A round investors include Altor Fund V, Ane & Robert Maersk Uggla, BILSTEIN GROUP, EIT InnoEnergy, Exor, FAM, IMAS Foundation, Kingspan, Marcegaglia, Mercedes-Benz AG, Scania, SMS Group, Stena Metall Finans, Cristina Stenbeck, Daniel Ek, and Vargas.

 

source：SteelGuru Business News