H2 Green Steel and Iberdrola, a world-leading renewable energy company, has announced a partnership to build a 1GW plant to produce green hydrogen, accelerating the decarbonisation of hard-to-abate industries.
The plant will be located in the Iberian Peninsula, where several possible locations are currently being considered, with production intended to start in 2025 or 2026. The plant will include a green hydrogen production facility with 1GW electrolysis capacity where Iberdrola will supply the plant with renewable energy, and a DRI production facility capable of producing approximately 2 million tons of direct reduced iron (DRI) annually. In addition, the companies will explore the opportunity to co-locate a Green steel production facility with the capacity to produce 2.5-5 million tonnes of Green flat steel annually. The electrolysis will be jointly owned and operated by the companies, while H2 Green Steel will own and operate the DRI production facility and any downstream Green steel production processes.
Partnership that allows us to leverage the knowledge of a leader in renewable energy
Carl-Erik Lagercrantz, CEO of Vargas and Vice Chairman H2 Green Steel comments:
“With this partnership, H2 Green Steel is taking its next step to bring emissions down to zero. Joining forces with Iberdrola allows us to leverage the knowledge of a leader in renewable energy, strengthening our position as a global leader in green hydrogen. This is also a testimony of the scalability of H2 Green Steel’s business model. Climate change is a global challenge, and we are bringing a global solution to the market.”