By advancing its Power4Steel project, SHS Group eventually plans to use up to 120,000 tons of hydrogen per year in the final expansion phase, positioning itself as the largest hydrogen customer in the region.
Hydrogen supplies will begin in 2029
The SHS Group initiated a closed tender process in March 2024 to secure regional green hydrogen production, as previously reported by SteelOrbis. Verso Energy won the tender and will supply hydrogen for a ten-year period starting in 2029, with an annual minimum of 6,000 tons.
Hydrogen will be certified as a renewable fuel of non-biological origin (RFNBO), ensuring its production exclusively using renewable electricity.
Impact on steel production and reduction of carbon emissions
Through the integration of hydrogen, recycled steel scrap and advanced technologies, including a new direct reduction plant and electric arc furnaces in Dillingen and Felklingen, SHS Group plans to reduce carbon emissions by up to 55 percent by the early 2030s, in line with EU decarbonization financing requirements.
Verso Energy's investments in
