Swedish steelmaker SSAB and Norwegian stockiest and distributor Smith Stål have signed a letter of intent Sept. 30 for the future deliveries of fossil-free steel, SSAB said in a statement.
The companies did not disclose the volumes of the agreement.
SSAB has developed two types of low-carbon steel — SSAB zero and SSAB fossil-free steel. SSAB zero is based on recycled steel scrap and produced with fossil-free electricity and biogas, while SSAB fossil-free steel is produced from iron ore using the HYBRIT technology developed together by SSAB, iron ore producer LKAB and energy company Vattenfall.
The technology, which has been tested on a pilot scale, uses hydrogen produced with fossil-free electricity to produce iron, the primary raw material in steelmaking and is expected to be available commercially from 2026 onward.
“It is a great pleasure for our company that we in the future can deliver SSAB’s fossil-free steel to our customers in Norway,” Eirik Berg, director at Smith Stål, said. “Being top 3 among Norwegian steel distributors, we feel a great demand on us when delivering to industry, building and offshore segment.”
Smith Stal provides a stock of plates, beams, hollow sections, pipes and bars and has also its own service centers to produce value-added steels.
“I am happy to welcome Smith Stal as a fossil-free steel partner, adding another distribution partner to our very important Norwegian market,” Matts Nilsson, SSAB’s head of sales Sweden and Norway, said. “Together we are building a strong value chain for our Norwegian customers.”
The agreement between SSAB and Smith Stal is the fourth one that the steelmaker has signed for its future steel deliveries in only two weeks.
Following the market trend and recent technology innovations, Platts, part of S&P Global Commodity Insights, launched Sept. 11 the first ever carbon-accounted rebar and medium sections assessments. It previously launched in May 2023 the world’s first carbon-accounted flat steel assessment for hot-rolled coil.
Platts last assessed Northwest European hot-rolled coil carbon-accounted at Eur625 per metric ton ex-works Ruhr Sept. 27, up Eur5/t on the day.
Platts last assessed Northwest European carbon-accounted rebar at Eur645/t ex-works Northwest Europe Sept. 25, down Eur10/t on the week. Platts assessed European carbon-accounted medium sections at Eur845/t DDP Europe Sept. 25, down Eur10/t on the week.
