Sweden’s H2 Green Steel secures Eur190 million funding for fossil-free steel project

Sweden’s H2 Green Steel said Aug. 30 it has secured a total of Eur190 million ($191 million) in funding through its series B equity financing round, it said in a statement Aug. 29.

H2 Green Steel is developing a green hydrogen powered steel plant in Boden, northern Sweden, which will have an initial production of 2.5 million mt/year from 2025, potentially increasing to 5 million mt/year by 2030.

After its launch in February 2021 and the close of its series A equity round, the company secured a 14 TWh agreement for renewable electricity and initiated ground works and construction.

It has now pre-sold 60% of its initial volumes to customers across a range of industries, from passenger vehicles and white goods to steel trading clients, as end-users are stepping up green transition efforts boosting demand for decarbonized steel.

“Despite the uncertainty in global markets, a venture like ours, with both a strong business case and a strong sustainable purpose, is clearly attractive to investors,” H2 Green Steel CEO Henrik Henriksson said in a statement.

— Ekaterina Bouckley