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Released November 22, 2023 | GALWAY, IRELAND
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Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland)--Steelmaker SSAB (Stockholm, Sweden) has canceled a front-end engineering design (FEED) study into the potential for green iron sponge production at its Raahe plant in North Ostrobothnia, Finland.
The FEED study began this summer with Finnish energy company Fortum Oyj (Espoo) but concluded early as it was not proving commercially viable. SSAB, the firm behind HYBRIT, the world's first fossil-free steel project in Sweden, is also planning for low-carbon steel production at its Raahe steelworks. There is a project underway to introduce a Direct Reduction Iron (DRI) unit on-site. In a statement, the company said: "The study had explored the possibilities of making hydrogen-reduced sponge iron also in Raahe, Finland. The two parties agree that it is not possible to find a commercial arrangement that would work for both of them given the existing preconditions, and the FEED study has consequently concluded. No further steps have been agreed."
SSAB, alongside Sweden's state-owned mining giant LKAB (Lulea) and energy company Vattenfall (Stockholm), are behind the HYBRIT initiative, the world's leading fossil-free steel project located in Lulea, Sweden. It is based on direct reduction of iron ore (DRI) using renewable energy and hydrogen (H2) gas instead of fossil-based fuel. In June, SSAB and Fortum announced plans to evaluate a similar approach for its Raahe plant, which produces 2.6 million tonnes per annum from its basic oxygen furnace (BOF). Its main products are hot-rolled plate and strip.
In January 2022, SSAB announced plans to transform its Nordic strip production and to make it largely carbon dioxide (CO2)-free by 2030. Last year, it made and delivered 500 tonnes of fossil-free steel through the HYBRIT pilot. Earlier this year it introduced SSAB Zero, a carbon dioxide-free steel based on recycled scrap and made using fossil-free energy. As well as the hydrogen project, Industrial Info is tracking plans to introduce electric arc furnaces at Raahe as well as seven projects worth US$185 million at its Oxelosund mill that include the addition of a green hydrogen unit, DRI unit and electric arc furnace. Subscribers to Industrial Info's Global Market Intelligence (GMI) Project Database can click here for the report.
In related news, the next stage of the HYBRIT initiative has been confirmed by LKAB, which will take over the construction of a demonstration plant at LKAB's industrial area in Gällivare. This new phase of the HYBRIT process will focus on the production of fossil-free sponge iron on an industrial scale. "The development of the HYBRIT technology for iron sponge production on a large scale is central to our transition, for the climate and for Swedish competitiveness," explained Niklas Johansson, senior vice president of communication and climate at LKAB. "That LKAB becomes the operator and responsible for the construction of the facility is a natural step for the entire value chain. We want to change, invest and create a competitive, carbon-dioxide-free future where LKAB becomes a supplier of sponge iron."
Ulf Spolander, general manager of Hybrit Development AB, added: "The planned construction of the demonstration facility builds on the positive results achieved within the HYBRIT initiative, and where the pilot activities in Luleå also continue to have an important role in technology development. We have come a long way with the research and development goals that we envisioned when we started six years ago. Now it's about using these advances for our owners during the next stage of industrializing the technology."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
The FEED study began this summer with Finnish energy company Fortum Oyj (Espoo) but concluded early as it was not proving commercially viable. SSAB, the firm behind HYBRIT, the world's first fossil-free steel project in Sweden, is also planning for low-carbon steel production at its Raahe steelworks. There is a project underway to introduce a Direct Reduction Iron (DRI) unit on-site. In a statement, the company said: "The study had explored the possibilities of making hydrogen-reduced sponge iron also in Raahe, Finland. The two parties agree that it is not possible to find a commercial arrangement that would work for both of them given the existing preconditions, and the FEED study has consequently concluded. No further steps have been agreed."
SSAB, alongside Sweden's state-owned mining giant LKAB (Lulea) and energy company Vattenfall (Stockholm), are behind the HYBRIT initiative, the world's leading fossil-free steel project located in Lulea, Sweden. It is based on direct reduction of iron ore (DRI) using renewable energy and hydrogen (H2) gas instead of fossil-based fuel. In June, SSAB and Fortum announced plans to evaluate a similar approach for its Raahe plant, which produces 2.6 million tonnes per annum from its basic oxygen furnace (BOF). Its main products are hot-rolled plate and strip.
In January 2022, SSAB announced plans to transform its Nordic strip production and to make it largely carbon dioxide (CO2)-free by 2030. Last year, it made and delivered 500 tonnes of fossil-free steel through the HYBRIT pilot. Earlier this year it introduced SSAB Zero, a carbon dioxide-free steel based on recycled scrap and made using fossil-free energy. As well as the hydrogen project, Industrial Info is tracking plans to introduce electric arc furnaces at Raahe as well as seven projects worth US$185 million at its Oxelosund mill that include the addition of a green hydrogen unit, DRI unit and electric arc furnace. Subscribers to Industrial Info's Global Market Intelligence (GMI) Project Database can click here for the report.
In related news, the next stage of the HYBRIT initiative has been confirmed by LKAB, which will take over the construction of a demonstration plant at LKAB's industrial area in Gällivare. This new phase of the HYBRIT process will focus on the production of fossil-free sponge iron on an industrial scale. "The development of the HYBRIT technology for iron sponge production on a large scale is central to our transition, for the climate and for Swedish competitiveness," explained Niklas Johansson, senior vice president of communication and climate at LKAB. "That LKAB becomes the operator and responsible for the construction of the facility is a natural step for the entire value chain. We want to change, invest and create a competitive, carbon-dioxide-free future where LKAB becomes a supplier of sponge iron."
Ulf Spolander, general manager of Hybrit Development AB, added: "The planned construction of the demonstration facility builds on the positive results achieved within the HYBRIT initiative, and where the pilot activities in Luleå also continue to have an important role in technology development. We have come a long way with the research and development goals that we envisioned when we started six years ago. Now it's about using these advances for our owners during the next stage of industrializing the technology."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
