SSAB postpones Luleå mill amid power delays
SSAB has announced a 12-month delay to the start-up of its new steel mill in Luleå, Sweden. The facility, originally planned to go online by the end of 2028, is now expected to be operational by the end of 2029, Kallanish understands.
The postponement stems from delays in upgrading Sweden’s power transmission infrastructure. Vattenfall Eldistribution, which is tasked with connecting the new mill to the grid, reported that necessary grid reinforcements will not be completed on schedule. The main holdup is linked to modernisation work at the existing Svartbyn grid station, which needs to be completed before the new Hällmyran station—key to SSAB’s connection—can go live, according to SSAB.
According to Vattenfall, Svenska kraftnät, the national grid operator, is facing technical challenges and outage scheduling constraints that have extended the construction timeline for Svartbyn. As a result, the broader grid expansion plan has been pushed back, directly impacting the mill’s timeline.
Despite the delay, SSAB confirmed that the total planned investment of €4.5 billion ($5.17 billion) for the project remains unchanged. The company has begun discussions with Vattenfall Eldistribution and Svenska kraftnät to develop a revised, sustainable timeline for the project moving forward, the company underlines.
Once completed, the Luleå mill will replace SSAB’s existing blast furnace-based production with a cleaner, more energy-efficient steelmaking process, aligning with the company’s transition toward fossil-free steel.
Almost ten days ago, SSAB and Danieli signed a contract under which Danieli will supply a highly automated technology solution for the steelmaker’s new mini mill in Luleå. The new Luleå mini mill will have a capacity of 2.5 million tonnes/year of SSAB’s specialty products, and a cold rolling complex to serve the mobility segment with a broader offering of premium products. It will produce hot-rolled strip in thicknesses ranging from 1.3mm to 25.4mm, in widths of up to 2,100mm and coils of up to 40 tonnes (see Kallanish passim).
Burak Odabasi Turkey
SSAB, Danieli sign contract for new Luleå mini-mill
Swedish steelmaker SSAB and Italian equipment supplier Danieli have signed a contract for the supply of equipment for SSAB’s new mini-mill in Luleå, the companies said on 10 June.
This contract followed an Early Service Agreement (ESA) signed in July 2024.
The new Luleå mill will consist of two electric arc furnaces (EAFs) with a total capacity of 2.5 mt per year, secondary metallurgy, a caster and direct strip rolling mill, and a cold rolling complex.
The mini-mill will produce hot-rolled strip in thicknesses ranging from 1.3 mm to 25.4 mm.
When completed, SSAB will decommission the existing blast furnace-based production system in Luleå. This will reduce Sweden’s CO2 emissions by 7% in addition to the 3% from the Oxelösund mill conversion, SSAB said.
In the second quarter, enquiries for green steel flat products have increased, but actual transactions remained limited. Buyers are apparently also less interested in mass-balanced material, preferring embedded carbon reductions.
McCloskey’s reduced carbon marker, calculated in reference to all green HRC premium indications reported in the week to publication, stood at €60.46/t on 6 June.
Maria Tanatar
SSAB expands production at Italian service centre
SSAB Swedish Steel’s service centre in Ghedi, Italy, is set to expand its production of cut-to-length sheets in higher strength grades while also improving quality.
The steel producer is to upgrade its cut-to-length (CTL) line to start production of higher strength steels with the aim to respond to current and future market demand, Kallanish learns from the company.
The initiative will allow the service centre to provide cut-to-length sheets of enhanced strength grades from coils, including most hot-rolled strip Hardox abrasion-resistant steels and Strenx structural steels.
The current facility processes coils with yield strengths of 700MPa or lower. The works will elevate the capacity to 1350MPa with a thickness of 6.5mm, enabling the cutting of ultra-high strength SSAB coils to any desired length, resulting in enhanced surface quality and flatness.
“The upgraded capacity means SSAB will ship a greater range of steels to Italy as coils, which is faster and more efficient than shipping cut lengths in packaged bundles from Sweden,” a company note says.
It adds that the Ghedi facility, which has a 80,000t/year capacity, will also be better able to handle low-to-mid production volumes in higher strength grades for a variety of sheet lengths.
“The Ghedi cut-to-length (CTL) line can already handle coils as wide as 2050mm, assuring compatibility with SSAB’s future mini-mills, which will be able to produce coils up to 2-meters wide.”
According to FIMI Machinery, which will carry out the upgrade, Ghedi customers are going to notice immediate improvements in their cut steel sheets.
“With three new brushing machines connected to a filtration system, the scale (iron oxide) produced by the straightener and levellers will be extracted to protect workers, machinery, and the environment. There will be less imprints on the surface, which means improved surface quality. And due to better stress removal, the sheets will be flatter, which is key for SSAB Laser grades,” they said,
The upgrade for 2025 is planned to coincide with the centre’s standard maintenance window, which spans from July to September. The equipment is projected to be operational in autumn this year.
Natalia Capra France
SSAB to supply fossil-free steel for construction equipment
SSAB says it has entered into an agreement with global construction equipment manufacturer Putzmeister to supply future fossil-free steel for use in manufacturing products such as concrete pump trucks and concrete mixers.
SSAB and Putzmeister have a long history of partnership and technical cooperation, Kallanish understands. By using SSAB’s Strenx high-strength structural steel and Hardox wear plates, Putzmeister has developed very strong and lightweight truck chassis, pump crane booms and concrete mixer drums. The lighter machines increase machine performance but also reduce carbon footprint, SSAB says.
This agreement replaces conventional steel with steel made via Hybrit technology, developed by SSAB with mining company LKAB and energy company Vattenfall, using green hydrogen and fossil-free electricity.
Christian Koehl Germany
Hybrit green hydrogen-for-steel project completes storage test
Swedish renewable hydrogen-for-steel project Hybrit has completed a hydrogen storage pilot project, with flexible power procurement reducing variable operating costs by up to 31%, the group said Feb. 27.
The Hybrit collaboration between steelmaker SSAB, iron ore miner LKAB and power company Vattenfall said hydrogen production costs could be cut by 25%-40% when the first commercial plants are commissioned.
“The results show that it is technically possible to store fossil-free hydrogen gas for producing fossil-free iron and steel on an industrial scale,” Vattenfall said in a statement.
Hybrit optimized hydrogen storage in real time against both spot and intraday power markets, with cost savings of 26%-31% in the trial.
The pilot storage facility has operated intermittently since 2022 in 3-6-week periods.
“The pilot project has been highly successful and has given us the results we hoped for,” Vattenfall Industrial Partnerships industry decarbonization director Mikael Nordlander said in the statement. “We have shown that it is possible to use this technology to increase the flexibility of the electricity system and that it is a safe design that lasts over time.”
Vattenfall said the group reached 3,800 hours of operation, with 94% availability.
The project involved a 100-cu m steel-lined rock cavern in Svartoberget next to the direct reduction pilot plant for sponge iron production in Lulea, Sweden.
Hybrit said accelerated mechanical tests gave the equivalent results of 50 years’ operation.
The group will extend the pilot storage project to 2026 to carry out additional tests to optimize commercial storage design.
Vattenfall said around 7% of global CO2 emissions come from the steel sector. Hybrit technology could enable SSAB to reduce Sweden’s emissions by 10%, and Finland’s by 7%, it said.
Platts, part of S&P Global Commodity Insights, assessed carbon-accounted hot-rolled coil steel in Northwest Europe at $648/st on Feb. 26, compared with conventional HRC prices CFR Antwerp at Eur550/st ($576/st).
Sweden’s SSAB to supply low carbon steel to Italian crane manufacturer Fassi
Swedish steelmaker SSAB has reached an agreement with Italian crane manufacturer Fassi to supply it with low-carbon steel.
The deal includes steel produced from both iron ore and recycled scrap, SSAB Fossil-free™ steel and SSAB Zero™, which will be used in Fassi’s hydraulic and truck-mounted cranes.
SSAB Zero™ is made using recycled steel and produced with fossil-free electricity and biogas; it has been available for commercial deliveries since 2023. SSAB has also developed fossil-free steel made from iron ore using HYBRIT technology, which employs hydrogen and fossil-free energy instead of coal in the steelmaking process.
The two companies did not disclose the amount of steel included in the deal.
“We look forward to deepening our collaboration with Fassi by delivering premium high-strength steel produced with a significantly lower carbon footprint,” said Per Elfgren, head of SSAB Special Steels.
Fassi CEO Giovanni Fassi added: “Innovation is a projection towards the future. And there is no future without sustainability.”
Fassi is one of the world’s largest loader crane manufacturers. The two companies are already in partnership, with Fassi utilizing SSAB’s Strenx steel, which the company claims adds lifting power, reduces weight and extends reach for its heavy-duty cranes.
Platts, part of S&P Global Commodity Insights, assessed Northwest European hot-rolled coil carbon-accounted at Eur680/mt ex-works Ruhr Feb. 25, stable day over day.
SSAB secures environmental permit for Lulea steelworks transformation
Nordic steelmaker SSAB received the necessary permit from the Land and Environmental Court in Umea, northern Sweden’s Vasterbotten County, to build and operate a mini-mill in Lulea, Norrbotten County, to replace the current blast furnace-based steel plant, it said in a Dec. 19 statement.
It said the permit enables a technology shift that would have positive effects on the environment and the climate and allow SSAB to meet the high demand for its steel products.
It further said construction preparations would now continue with detailed engineering and the building permit process. It added that once the new plant with electric arc furnaces, rolling mills, and further processing was running at full capacity, SSAB would decommission Lulea’s current blast furnace-based production system.
“This is a big day for SSAB and for the transformation to fossil-free steel production in Sweden. Now we can proceed with an investment that will result in reduced climate impact of national significance,” SSAB president and CEO Johnny Sjostrom said.
He added that the mill’s transformation would also create a more flexible and cost-effective production with a wider range of premium and special steel products with close to zero emissions and safeguard jobs in Lulea.
SSAB said the investment would result in a better cost position, higher efficiency, shorter lead times, and elimination of CO2 costs. The new mill would run on fossil-free electricity and be supplied with a mix of fossil-free sponge iron produced with its HYBRIT technology and recycled steel scrap.
Unlike traditional steelmaking, which relies on coking coal, SSAB’s HYBRIT process uses hydrogen, produced with renewable electricity, to produce sponge iron, which is then processed into steel. According to SSAB, the process emits water vapor instead of CO2 and largely eliminates CO2 emissions from the steelmaking process.
SSAB said the Lulea mill’s transformation would significantly reduce emissions to air and water, increase resource efficiency, and remove about 2.8 million mt/year of carbon dioxide emissions.
In total, SSAB’s transformation will enable a reduction of 10% in Sweden’s total CO2 emissions, of which 7% comes from Lulea and 3% from the transformation in Oxelosund, according to SSAB.
Platts, part of S&P Global Commodity Insights, assessed the daily Northwest Europe HRC carbon-accounted steel price at Eur615/mt ex-works Ruhr on Dec. 18, down 22% since the start of 2024.
Tony Harris appointed new head of SSAB Europe
Tony Harris has been appointed new head of SSAB Europe effective 1 February 2025, Kallanish hears from the Swedish company. He transitions into this role from his current position as head of sales and business development at SSAB Europe.
Harris has a commercial background at both small and medium-sized enterprises and multinational corporations, SSAB notes. His expertise covers not only sales and business development but also operations and general management, the company adds.
Since joining SSAB in 2014, following the merger with Rautaruukki, Harris has served as a key member of SSAB’s European management. Upon assuming his new role, he will also join SSAB’s executive committee. He will succeed Olavi Huhtala, who has announced his retirement.
“Tony has played a crucial role in driving SSAB Europe’s progress, demonstrating a deep understanding of our company’s operations and culture,” says SSAB chief executive Johnny Sjöström.
Christian Koehl Germany
SSAB inks Snop deal, receives funding for transition
SSAB and automotive supplier Snop have entered into a long-term partnership for future deliveries of fossil-free steel, Kallanish learns from the Swedish steelmaker.
The Groupe Financière SNOP Dunois (FSD) is a privately owned major tier-one automotive supplier with established relationships with all European OEMs. It is divided into three divisions – Snop, Smom and Balconi – and employs over 8,200 people in 12 countries at 36 production sites and four technical centres. Groupe FSD supplies body structure stampings, roll-formed parts and assemblies for cars and commercial vehicles, as well as stamping dies and automatic presses.
According to SSAB, the partnership will help Snop to meet its target to reduce CO2 emissions by 30% by 2030. The partners did not provide details on tonnages or supply duration.
SSAB also says it will be granted SEK 1.45 billion ($133 million) under the EU’s Just Transition Fund (JFT). The funding will contribute to the transformation to fossil-free steel production at SSAB’s operations in Luleå.
The funding from the EU involves the Swedish Agency for Economic and Regional Growth, and “is a clear signal about the importance of our transformation”, says SSAB chief executive Johnny Sjöström.
The JFT focuses on industries and regions with high carbon dioxide emissions. In Sweden’s national programme for the JFT, the eligible sectors are the steel, metals and cement industries.
Christian Koehl Germany
Ruukki opens new roof profile production
Ruukki Construction, part of SSAB, has opened the new roof profile production line in Vimpeli, Finland, Kallanish notes.
Recent years have seen Ruukki spend a total of €8 million ($8.4m) on the Vimpeli plant as part of a multi-year investment programme. In Vimpeli, the company has further improved product properties, streamlined material flows, increased production capacity and the degree of automation, upgraded production lines, and improved social and civil defence shelter facilities, SSAB notes.
The almost 100-metre profiling line in Vimpeli will double the production capacity of the plant’s snap lock roofing. It is dedicated to making Ruukki Classic, Ruukki Classic LowCarbon and Ruukki Trendic profiles, and is the largest single machine investment in the project, which was announced in December 2021.
The improvements will result in new, better and more sustainable roofing products, more efficient for installation partners as well as for house builders and renovators, SSAB says.
Christian Koehl Germany