Swedish steelmaker SSAB and Finnish energy company Fortum have announced the launch of a Front-End Engineering Design (FEED) study to explore the possibilities of making hydrogen-reduced sponge iron in Raahe, Finland.
The FEED study, which utilizes an engineering design approach used to control project expenses and plan a project before a fixed bid quote is submitted, will explore the possibilities of making fossil-free sponge iron at an industrial-scale in Raahe and of building a hydrogen production plant. The study is scheduled to be finalized by the beginning of 2024.
The initiative is a ‘natural continuation to an ongoing joint research project FFS – Towards Fossil-free Steel,’ stated a press release from SSAB, with the project having begun in February 2021, supported by Business Finland.
In January 2022, SSAB's Board of Directors made a policy decision to ‘transform Nordic strip production and to make it largely carbon dioxide-free’ by around 2030.
March 2023 also saw a decarbonization milestone for the company, with the introduction of SSAB Zero, a carbon dioxide-free steel based on recycled scrap and made using fossil-free energy.
The announcement of the project follows SSAB’s recent investment decision in the ‘green transformation’ of its Oxelösund mill, which the company hopes will enable a 3% reduction of Sweden’s total CO2 emissions.