H2 Green Steel raises €3.5 billion for project in Sweden

Sweden’s H2 Green Steel has announced that it has secured €3.5 billion in debt financing from European institutions to build a hydrogen-powered steel plant. The company’s website reports about it.

The construction of the plant in the city of Boden in the north of Sweden, which will use green hydrogen, will be financed by debt and own funds. The launch of production at the site is planned for the end of 2025.

The company received conditional obligations for priority debt in the amount of €3.3 billion from the Swedish Export Credit Corporation (Svensk Exportkredit) and five commercial banks (BNP Paribas, ING, UniCredit, Societe Generale and KfW IPEX-Bank). Certain other lenders have issued letters of intent regarding credit guarantees.

According to Henrik Henriksson, CEO of H2 Green Steel, the participation of European institutions, the Swedish National Debt Office, global export credit agencies and banks underlines the readiness to support initiatives that will help achieve the goal of the Paris Agreement.

H2 Green Steel plans to have a production capacity of 5 million tons of green steel per year by 2023, which can reduce carbon emissions by 95% compared to conventional production.

As GMK Center reported earlier, German steelmaker Salzgitter Group and electrolysis producer Sunfire have completed the EU-funded Green Industrial Hydrogen (GrlnHy2.0) project. The project was completed with a record production of almost 100,000 tons of green hydrogen for the production of green steel.

Also, the South African petrochemical company Sasol and the steel producer ArcelorMittal South Africa have signed a memorandum of understanding on cooperation in the field of green energy. Companies will develop carbon capture technology to produce clean fuels and chemicals. In addition, they will cooperate in the use of green hydrogen for steel production.

  • Companies

Erdemir announces large-scale investments in green transformation by 2050

Turkish steel company Erdemir has unveiled an updated sustainability strategy, according to which it plans…

Tuesday June 3, 2025
  • Global Market

India prioritizes local steel for government projects

The Indian government has revised its local steel policy for 2025 to ensure that locally…

Monday June 2, 2025
  • Companies

Zaporizhstal increased its rolled steel output by 4.9% y/y in January-May

Zaporizhstal Iron and Steel Works increased rolled steel production by 4.9% year-on-year – to 1.098…

Monday June 2, 2025
  • Society

Interpipe encourages schoolchildren to pursue technical education through educational projects

High school students in Dnipro are increasingly choosing technical fields thanks to modern educational projects.…

Monday June 2, 2025
  • Companies

Zaporizhkoks reduced production to 357.7 thousand tons in January-May

Zaporozhkoks, one of the largest producers of coke for metallurgy in Ukraine, reduced production by…

Monday June 2, 2025
  • Industry

China’s steel sector aims to achieve ultra-low emissions by the end of 2025

The China Iron and Steel Association (CISA) is confident that 80% of the country's steel…

Monday June 2, 2025