SSAB to build new steel mill in Luleå

SAB's board of directors has decided to build a new, state-of-the-art steel mill in Luleå, Sweden. The new mill will replace the current blast furnace-based production system and is a major milestone on SSAB's journey to fossil-free steelmaking.

An artist's impression of how SSAB's new steelworks in Luleå will look.

An artist's impression of how SSAB's new steelworks in Luleå will look.

Foto: SSAB

Luleå2024-04-02 10:06

– This is a historic decision for SSAB and a major step towards our goal of becoming the world's first fossil-free steel company, said SSAB president and CEO Martin Lindqvist.

– The new steel mill in Luleå will be a showcase for our HYBRIT technology and will enable us to significantly reduce our carbon emissions.

The new steel mill will have a capacity of 2.5 million tonnes per year and will consist of two electric arc furnaces. It will use a mix of fossil-free iron sponge from HYBRIT's demonstration plant in Gällivare and recycled steel scrap as raw materials.

The total investment in Luleå is estimated at 4.5 billion Euros, including a contingency framework. The new steel mill is expected to be operational by the end of 2028 and reach full capacity one year later.

– The transition in Luleå is a milestone on our journey to fossil-free steelmaking, said Lindqvist.

– We will remove seven percent of Sweden's carbon dioxide emissions, strengthen our competitiveness and secure jobs with the most cost-effective and sustainable strip steel production in Europe.

– Together with our partner LKAB, we have committed to removing carbon dioxide emissions from our value chain and established a new world-leading technology for a fossil-free future, said Lindqvist.

– We are also securing the competitiveness of the Nordic industry for many decades to come by supporting our thousands of customers who rely on quality steel from our value chain.


About SSAB

SSAB offers value-added products and services developed in close cooperation with its customers to create a stronger, lighter and more sustainable world. SSAB has employees in over 50 countries and operates production facilities in Sweden, Finland and the United States. SSAB is listed on the Nasdaq Stockholm stock exchange.


HYBRIT is a joint venture between SSAB, LKAB and Vattenfall. The goal of HYBRIT is to develop a breakthrough technology for fossil-free steelmaking. The HYBRIT process uses hydrogen instead of fossil fuels to reduce iron ore into iron sponge. The iron sponge is then used in an electric arc furnace to produce steel. The HYBRIT process has the potential to eliminate 10 million tonnes of carbon dioxide emissions per year from steelmaking in Sweden.