US steelmaker Steel Dynamics has signed an agreement with a subsidiary of renewable energy company NextEra Energy Resources, for the supply of 308 megawatts of renewable energy from a new wind farm project in Texas.
The renewable energy deal is the largest of its kind in the North American steel industry, according to Steel Dynamics.
The wind farm project is expected to generate around 1.1 million megawatt-hours of electricity annually, equivalent to 16% of Steel Dynamics‘ steel mills’ electricity usage in 2022. This surpasses the company’s 2025 goal of achieving 10% renewable electricity and puts it on track to reach its 2030 target of 30%.
"As one of North America's largest steel producers and its largest metals recycler, we are excited to be collaborating with NextEra Energy Resources, the world's largest generator of renewable energy from the wind and sun, to place new renewable energy onto the ERCOT power grid."
Mark D. Millett, chairman and CEO, Steel Dynamics
"As one of North America's largest steel producers and its largest metals recycler, we are excited to be collaborating with NextEra Energy Resources, the world's largest generator of renewable energy from the wind and sun, to place new renewable energy onto the ERCOT power grid," stated Mark D. Millett, chairman and CEO of Steel Dynamics.
''This investment represents a significant step forward on our path to carbon neutrality.''
Mark D. Millett, chairman and CEO, Steel Dynamics
"Our steel mills' greenhouse gas emissions are among the lowest in the industry globally. This investment represents a significant step forward on our path to carbon neutrality. The steel industry is vital to a healthy manufacturing base and sustainable infrastructure, and we produce the steel required for a sustainable future," concluded Millet.
The new wind energy centre will be owned, developed, and operated by a NextEra Energy Resources subsidiary and is expected to commence operations by the end of 2024.
"We are committed to leading the decarbonization of the US economy, and meaningful collaborations like this will be key to meeting corporate, industry, and national carbon emissions reduction goals."
Rebecca Kujawa, president and CEO, NextEra Energy Resources
"Large energy consumers, such as Steel Dynamics, are well suited to benefit from the development of large renewable energy projects," stated Rebecca Kujawa, president and CEO of NextEra Energy Resources. "We are committed to leading the decarbonization of the US economy, and meaningful collaborations like this will be key to meeting corporate, industry, and national carbon emissions reduction goals."
According to a press release, the wind farm’s estimated annual output is equivalent to powering more than 100,000 average US homes. The project also aims to create job opportunities for the local area, and contribute to the economy.