Swedish H2 Green Steel and Iberdrola announced a partnership to build a «green» hydrogen plant on the Iberian peninsula for 2.3 billion euros.
The electrolysis capacity of the new plant on production of «green» hydrogen will be 1 GW, and the production capacity of direct reduction iron (DRI) will be 2 million t «green» DRI-iron. The hydrogen plant will produce and deliver «green» hydrogen to the direct reduction tower with a capacity of 2 million tons, which will allow H2 Green Steel to reduce emissions in production of «green» steel by 95%.
H2 Green Steel CEO Henrik Henriksson expressed confidence that large-scale production of clean hydrogen would be a key factor in the transition of heavy industry to sustainable operations.
According to the Commercial Director of Iberdrola on liberalization Aitor Moso, «green» hydrogen will become an important technology in the decarbonization of heavy industrial processes such as steel production. The top manager believes that such projects will help to accelerate the commercialization of larger and more complex electrolysers, which will make clean hydrogen more competitive.
Iberdrola and H2 Green Steel agreed to work with the construction of a hydrogen plant to explore the possibility of launching the production of Green Flat Mill with a capacity of 2.5-5 million tons of steel per year.