Swedish green steel startup Stegra said on Monday that it has secured Thyssenkrupp Materials Processing as its first customer for non-prime steel from a hydrogen-based plant it is building in northern Sweden that is due to start operations next year, according to report by Reuters. .
Stegra said in October that it was seeking an additional $1.1 billion in financing to complete construction of the plant, but it has yet to announce an agreement on the funding. A company spokesperson said on Monday that Stegra expected to conclude its financing discussions in the first quarter.
Formerly known as H2 Green Steel, Stegra is one of several projects underpinning Sweden’s ambition to become a leader in Europe’s green industrial transition, supported by access to low‑cost, carbon‑free electricity. But those efforts have faced setbacks, opens new tab including Stegra’s own financing challenges and the collapse, opens new tab of battery maker Northvolt.
Under the deal signed with Thyssenkrupp Materials Processing, part of German conglomerate Thyssenkrupp (TKAG.DE), opens new tab through unit Thyssenkrupp Materials Services, the German company will buy significant amounts of non-prime steel from 2027 to supply customers in various industries across Europe, Stegra said in a statement.
