Blastr Green Steel plans to use green electricity from Norway’s SFE

Norway’s Blastr Green Steel has signed a letter of intent with local energy company Sogn og Fjordane Energi (SFE) for the long-term supply of green electricity for a pellet plant in the Lutelandet industrial area (Norway). It is stated in the company’s message.

Lutelandet is being considered as a potential feedstock site for the Blastr steel plant currently under development in Inkoo, Finland.

«This is an important step towards securing power capacity and grid connection for a potential plant in Lutelandet that will use renewable hydro and wind power to accelerate the development of the green steel value chain,» noted Hans Fredrik Witthusen, CEO of Blastr Green Steel.

As Bengt Jostein Haugnes noted, SFE’s head of energy and markets, the company supports the development of new green industries in western Norway, and looks forward to working closely with Blastr.

According to the letter of intent, Blastr and SFE will work together to enter into a long-term agreement. The parties plan to sign the final agreement by the end of 2025, subject to Blastr Green Steel receiving the relevant regulatory approvals and making a final investment decision on the site.

In August 2023, Blastr selected the Lutelandet industrial zone as a potential site for the construction of a plant to process iron ore pellets into direct reduction (DR) pellets.

As GMK Center reported earlier, Blastr also has agreement of intent with Redcar Bulk Terminal (RBT) in Teesside (UK) as another potential site for a DR pellet plant. The final selection of the site is planned to be carried out by the end of 2023, and the final investment decision on the construction of the plant is expected in 2025, subject to obtaining the relevant permits and agreements.