Swedish steelmaker SSAB, a Nordic and US-based steel company that claims to build a stronger, lighter and more sustainable world through value added steel products and services, has been selected for awards negotiations for up to US$500 million in funding from the US Department of Energy for the potential construction of a HYBRIT® manufacturing facility, capable of producing fossil free iron by using green hydrogen instead of fossil fuels.
The project will explore the possibility of expanding capacity and capability at SSAB’s steel manufacturing operations in Montpelier, Iowa, including increased use of renewable energy.
“We are pleased to have our project selected by the DOE for negotiations to accelerate decarbonization of the iron and steel sector. We see a great interest in sustainable products from the market and this project offers a critical opportunity to solidify a first-mover advantage for the US industry,” says Chuck Schmitt, president of SSAB Americas.
"This project offers a critical opportunity to solidify a first-mover advantage for the US industry."
Chuck Schmitt, president of SSAB Americas.
This initiative would enable SSAB to expand its sustainable domestic supply chain for steel products and also to advance the US renewable energy transition objectives in response to the Bipartisan Infrastructure Law and the Inflation Reduction Act.
In January 2022, SSAB's board of directors made a policy decision to transform the production system in Sweden and Finland and make it largely carbon dioxide-free. In 2021, SSAB started to produce and deliver smaller volumes of fossil-free steel through the HYBRIT pilot plant in northern Sweden. In 2023, the company introduced SSAB Zero, a carbon dioxide-free steel based on recycled scrap and using fossil-free energy.