ESG Today writes that the upcoming facility would be able to manufacture steel with a 95% lower carbon footprint, when compared to blast furnace units. Back in July we wrote about the fact that H2 Green Steel was contracted by automotive supplier ZF for its cleantech steel manufacturing technologies.

2020-founded H2 Green Steel will build its upcoming sustainable steel facility in Boden, Sweden, with the project also including a giga-scale green hydrogen production unit, which will supply the required energy. Green hydrogen will be generated with the help of 100% renewable power and the factory could begin production sometime in 2025.

At the same time, by 2030, company officials want to roll out an annual amount of 5 million tons of almost zero-emissions steel.

Mercedes-Benz, Scania and BMW are said to be three other large customers of the Swedish company.

Otto Gernandt, CFO of H2 Green Steel, said that "this marks the start of industrial scale decarbonization of basic materials production. The sector will require substantial investments over the coming decades to enable our customers to produce green end products and, thereby meet their climate targets."