French hydrogen investment firm Hy24 plans to participate in the latest equity round for Sweden-based Stegra, which is building a large-scale fossil-free steel plant in Boden, Sweden, according to media reports. Stegra, formerly H2 Green Steel, is raising up to €975 million to cover cost overruns and fill gaps left by delayed state subsidies.
Pierre-Etienne Franc, CEO of Hy24, said the fundamentals of the project remain “very good” despite the increased costs.
The plant is designed to use hydrogen-based technology and aims to cut carbon emissions by up to 95 percent compared with blast-furnace steel production.
Strategic significance and next steps
Hy24’s renewed backing signals confidence in Stegra’s ambition to become the world’s largest green-steel producer, setting a potential benchmark for decarbonizing hard-to-abate industries. The company plans operations beginning in late 2026.
While the funding round is ongoing, Stegra continues to face scrutiny over financing, state-support delays and total cost escalations.