Germany – ArcelorMittal intends to build a demonstration facility for the manufacturing of carbon-neutral steel in Hamburg.
According to CEO Uwe Braun, the idea won’t succeed without the Hanseatic city’s transformation into a hydrogen metropolis. Braun claims that the business requires “cheap and available” green hydrogen, which is not currently widely available.
Braun describes the pilot plant as a key step towards CO2-neutral steel manufacturing. In February, the EU authorised federal funds for the pilot plant totaling 55 million euros. But, constructing green hydrogen infrastructure and capacity requires political support from Hamburg.
Hydrogen metropolis
Currently, the Hamburg facility uses natural gas and the direct reduction method to make steel, which accounts for about half of the CO2 emissions produced by the standard coking coal blast furnace method. The goal is to use green hydrogen in place of natural gas.
With the best infrastructure for hydrogen generation, import, storage, and distribution, Hamburg has the potential to become a hydrogen metropolis. Also, the city has potential clients in the transport, logistics, and industrial sectors. According to Senator for Economic Affairs Melanie Leonhard, the city is charting the full hydrogen value chain.