Danieli to become technology supplier for SSAB’s green mini-plant

The companies signed an early service agreement

Swedish steel company SSAB has selected Danieli as a technology supplier for SSAB’s fossil fuel-free steel mill in Luleå, Sweden. This is stated in the message of SSAB.

The companies have signed an early service agreement (ESA) for the preparation and engineering phase of the mini-mill project. According to the agreement, Danieli will supply a highly automated process solution for the new plant, which will be equipped with two electric arc furnaces, a secondary metallurgy sector, a continuous casting machine, and a strip mill.

As part of the selected solution, Danieli will supply a smelting shop consisting of two DigiMelter melting furnaces with continuous scrap feeding, as well as two refining stations with two ladles and two vacuum degassers with two tanks.

The decision to build the state-of-the-art mini-mill in Luleå was made by SSAB’s Board of Directors in April this year. High-quality hot-rolled coils will be produced using electric arc furnace production and direct casting. The new plant will have an annual capacity of 2.5 million tons. The plant will be supplied with a mixture of fossil-free sponge iron from Hybrit’s demonstration plant in Jellivare and recycled scrap.

The mini-plant is scheduled to be launched in late 2028 and reach full capacity a year later. Environmental permits are expected by the end of 2024. The investment is an important step in SSAB’s strategy to establish a leading position in the production of specialty and premium steel without emissions. Once the project is up and running, SSAB will decommission the existing production system based on the blast furnace in Luleå.

As GMK Center reported earlier, SSAB and UK-based Firth Steels have entered into a long-term agreement to supply SSAB Zero steel, a recycled steel product that is made using electricity and biogas that do not contain fossil fuels. Firth Steels is one of the UK’s leading manufacturers of steel profiles for wall and roofing systems.