The European Commission has announced that it has approved a €280 million measure to support ArcelorMittal Belgium’s efforts to partially decarbonizing its steel production in its plant in which it operates two blast furnaces.
With the help of the measure in question, the company will be able to achieve the EU Hydrogen Strategy, the European Green Deal and the Green Deal Industrial Plan. It also foresees to decrease dependence on Russian fossil fuels and accelerate transition to green production.
Under the measure, a new direct reduction iron plant will be constructed and with the help of a new electric arc furnace, the company will be able to substitute one of the two blast furnaces. In the future, the plant will only use renewable hydrogen and will switch to low-carbon hydrogen in case of renewable hydrogen shortage.
The plant is expected to be operational in 2026 and to have a production capacity of 2.3 million mt of low-carbon direct reduced iron per year.