Sweden-based Stegra, formerly known as H2 Green Steel, has announced that it has reached an agreement in principle with domestic iron ore producer LKAB to jointly test pellet deliveries at the end of next year, when railway works are completed.
Accordingly, Stegra will use pellets that it will procure from LKAB at its plant in Boden, in which it will produce green hydrogen, green sponge iron and green steel, reducing carbon emissions. The Boden plant that is currently under construction is scheduled to be commissioned in 2026.
“We, at Stegra, hope this is the beginning of a long cooperation that will further strengthen Sweden’s security of supply and its progressive position in the green industrial transition,” Henrik Henriksson, CEO of Stegra, stated commenting on the deal with LKAB.