ArcelorMittal invests in steel plants in Germany

ArcelorMittal has announced a major investment in its German facilities as part of its efforts to reduce carbon emissions by accelerating the adoption of carbon neutral steel and expanding its hydrogen infrastructure.

According to a press release, the company plans to build a large-scale industrial direct iron ore reduction (DRI) and electric arc furnace (EAF) steelmaking plant at its Bremen site. ArcelorMittal initially plans to use natural gas for DRI, which will later use hydrogen from electrolysis.

In addition, an innovative DRI pilot plant will be built in Eisenhüttenstadt in addition to the EAF. The necessary additional hydrogen will be produced from natural gas using a pyrolysis plant to be built on the site of the metallurgical plant.

The above investments will increase steel production at these two sites using environmentally friendly hydrogen to about 3.5 million tonnes by 2030. The carbon savings in the factories are estimated at around 5 million tonnes. It is expected that the technology conversion will be carried out with an investment of 1-1.5 billion euros.

Rainer Blaschek, CEO of ArcelorMittal Flachstahl Deutschland, sought the necessary support and access to funding to implement the expansion plan.

The company plans to reduce its carbon dioxide emissions by 30% by 2030 in Europe and achieve carbon neutral steel production by 2050.