Indian steelmaker Tata Steel Limited has signed a non-binding agreement with the government of Netherlands to transition to low carbon emission steel production at its Ijmuiden mill, the company said in a statement on Tuesday, September 30.
The plant is among the largest polluters in the country and Tata has been in talks with the Dutch government for months over subsidies to help it clean up production processes.
The Dutch government intends to provide up to €2 billion under the pact, while Tata Steel's Dutch unit has applied to the EU Innovation Fund for €0.3 billion, the company said
The remaining spending is expected to be financed by a combination of cash generated by Tata Steel Nederland, project financing debt and funding by Tata Steel.
Tata Steel Nederland has not finalized the total expenditure as it has not completed the full engineering plans for the project, the company said.
