H2 Green Steel is harnessing revolutionary technology with the aim of reducing carbon emissions from steel production up to 95 percent and is constructing a new, fully integrated, digitalized and automated steel plant in Boden to produce green steel. Locating the steel plant in Boden brings renewable energy generated by hydro and wind power to the plant’s doorstep.

“No one has scrutinized our project more closely than those backing our financing. The strong support from lenders such as SEK is a stamp of approval for our company. It also represents a major climate victory since we hope that this model will inspire the financing of other initiatives that can transform industries that remain major sources of GHG emissions into fossil-free industries.”

Henrik Henriksson, CEO of H2 Green Steel

SEK is financing the new steel plant together with a consortium of international banks and is backed by green credit guarantees from instances including the Swedish National Debt Office.

“SEK expanded its project financing initiatives some time ago to be able to support Swedish exports and the green transition in Sweden. The financing of H2 Green Steel’s Boden steel plant breaks new ground and showcases how SEK can be a force in the green transition.”

Martin Johansson, project financing at SEK

An essential part of our daily lives, steel is used in everything from vehicles to buildings and kitchen appliances. Despite its significance, the steel industry is one of the world’s largest sources of CO2 emissions and accounts for some 8 percent of global CO2 emissions – compared with aviation’s 2 percent.

“Phasing out fossil fuel in the steel industry will play an important role in reaching the global targets for reduced CO2 emissions. SEK’s desire to support the export industry’s transition is one of the reasons behind our financing of H2 Green Steel’s Boden steel plant.”

Magnus Montan, CEO of SEK

H2 Green Steel’s ambition – steel is only the beginning

H2 Green Steel was founded in 2020 with the ambition of accelerating the green transition of the steel industry. By replacing coal in steel production with green hydrogen powered by fossil-free electricity, almost all CO2 emissions are removed and water and heat become the primary emissions. In the long term, H2 Green Steel is not just targeting the steel industry – the company aims to use green hydrogen to reduce CO2 emissions from other heavy industries.