Marcegaglia raises €100 million from EIB for decarbonization and innovation

The European Investment Bank (EIB) has allocated €100 million in financing to the Marcegaglia steel group for its decarbonization and innovation strategy. The company said in a statement.

The funds will be used to finance a number of energy efficiency, automation and innovation initiatives at the group’s Italian operations, which are expected to be completed by 2028.

The EIB grant will support the group’s €170 million investment plan, which aims to strengthen the digitalization and automation of logistics in Ravenna and Gazzoldo degli Ippoliti. Marcegaglia plans to further decarbonize one of its galvanizing lines in Ravenna and develop an innovative, low-carbon and highly efficient technology for electrical steels.

In addition, funding will be provided for research, development and innovation projects, in particular those related to production processes at the plants in Ravenna, Gazzoldo degli Ippoliti and San Giorgio di Nogaro.

“The steel industry is crucial for the EU’s economy and competitiveness. But as we know, steel production requires a lot of energy and has a significant environmental impact. The financing announced today will help Marcegaglia embark on a transformational journey, enabling the group to adopt more sustainable industrial processes and advanced technologies to improve its environmental footprint, enhance workplace safety and reduce costs,” said EIB Vice-President Gelsomina Vigliotti.

According to Marcegaglia CEOs Antonio and Emma Marcegaglia, these projects will further reduce the company’s environmental footprint and improve the technologies used. The EIB funding will cover more than the usual 50% of the total project cost, as it is aimed at supporting the REPowerEU goals.

In July of this year, the Austrian steel and technology group voestalpine attracted a €300 million EIB loan for research and development of clean steel production.