Scrap Prices North America
H2 Green Steel Partners with Midrex, Gets Funding from Kobe Steel
Written by Laura Miller
October 11, 2022
H2 Green Steel (H2GS) is partnering with Midrex Technologies for its new direct reduced iron (DRI) facility in northern Sweden.
Using Midrex’s technology, H2GS’s 2.1-million-metric-tons-per-year facility will run on 100% green hydrogen. Paul Wurth, an SMS group company, will also provide technology and equipment for the first-of-its-kind DRI plant.
“We started working together almost two years ago and during this time, the team at Midrex has demonstrated a capability for rapid technical development, leading to a package that wraps the world’s largest hydrogen electrical heater with the DRI process, to secure a completely green solution for iron reduction,” said Maria Perrson Gulda, chief technology officer of H2GS. “This DRI plant will truly be first of its kind and a landmark for large-scale green steel production.”
“This unique project is a ‘lighthouse’ to our industry and sets the standard for green steel. There is simply nothing like it — 100% hydrogen from day one to produce over 2 million metric tons of DRI with up to 95% reduction in CO2,” noted Midrex president and CEO Stephen C. Montague.
Midrex, based in Charlotte, N.C., is a subsidiary of Japan’s Kobe Steel, which has chosen to invest in H2GS as part of the start-up’s series B financing round. Discussions have also begun for Kobe Steel to purchase green hot-briquetted iron (HBI) from H2GS in the future.
“We feel confident that H2 Green Steel project will set a good precedent in the world iron and steel industry moving forward to decarbonization,” commented Kazuto Morisaki, Kobe Steel’s executive vice president.
H2GS is a start-up company based in Stockholm, Sweden, focusing on the decarbonization of the steel industry through the use of green hydrogen. It is expected to bring steel to the market starting in 2025.
By Laura Miller, Laura@SteelMarketUpdate.com
Laura Miller
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