ArcelorMittal has signed a memorandum of understanding (MoU) with the Spanish Government that will see a €1 billion investment in decarbonisation technologies at ArcelorMittal Asturias’ plant in Gijón, in the construction of a green hydrogen direct reduced iron (DRI) plant, as well as a new hybrid electric arc furnace (EAF).
The investments will reduce CO2 emissions at ArcelorMittal’s Spanish operations by up to 4.8 million tonnes (1), which represents approximately 50% of emissions, within the next five years. ArcelorMittal has also announced that its Sestao plant in Spain will become the world’s first full-scale zero carbon-emissions steel plant. (2)
[1] Should green hydrogen not be available at affordable rates by the end of 2025, natural gas would be used to power the DRI furnace. This would still result in a very significant reduction in CO2 emissions, of 4 million tonnes, approximately 45%.
[2] On a Scope 1 and 2 basis.