STOCKHOLM (Reuters) – Thyssenkrupp has agreed to supply technology for Swedish fossil-free steel startup H2 Green Steel’s planned large electrolysis facility to produce hydrogen.
The project is part of H2 Green Steel’s plans to build a fossil-free steel plant in northern Sweden.
The steel manufacturing will be based on green hydrogen, created through electrolysis, H2 Green Steel said in a statement.
“The agreement with Thyssenkrupp Nucera will cover alkaline water electrolysis technology (AWE) and large-scale electrolysis plant engineering,” H2 Green Steel said.
Electrolysis splits water into hydrogen and oxygen.
H2 Green Steel’s statement said it plans to use a number of different technologies for the production of hydrogen.
A H2 Green Steel spokesperson said the agreement was worth several billion Swedish crowns. She declined to comment further on the financials of the deal.
She said H2 Green Steel expected Thyssenkrupp Nucera, a subsidiary of Thyssenkrupp, to start deliveries in late 2024.
She said the deal with Thyssenkrupp was the first announced supplier deal, and that H2 Green Steel aims for a total capacity of around 800 megawatt (MW) of electrolysis.
“Through this collaboration, Thyssenkrupp Nucera will deliver capacity of more than 700MW to the electrolysis plant,” the company said in the statement.
The facility will be located in Boden in northern Sweden near the steel mill.
H2 Green Steel is majority-owned by Vargas Holding, which is also co-founder and one of the larger shareholders in battery developer Northvolt, whose biggest owner is Volkswagen and which is building a battery factory in northern Sweden.
(Reporting by Anna Ringstrom. Editing by Jane Merriman)
