Fluor lands EPC job for Swedish green steel project

US-based Fluor Corporation (NYSE:FLR) on Wednesday said it has won a contract to install the world’s first large-scale plant that will use renewable hydrogen to produce green steel in Sweden.

The engineering, procurement and construction (EPC) management services deal was awarded by project developer H2 Green Steel, which last month secured EUR 4.75 billion (USD 5.11bn) in funding for the project in Boden, northern Sweden.

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Under the contract, Fluor will be in charge of installing melt shop, casting, rolling and finishing facilities for the future steelmaking site. According to its statement, construction of the mills has already been initiated.

The Boden plant will use on-site generated green hydrogen to replace coal in the steel production process. Once in operation, it is expected to produce five million tonnes of steel annually by 2030, with up to 95% less carbon dioxide (CO2) emissions compared to steel produced using traditional blast furnace technology.

H2 Green Steel has raised nearly EUR 6.5 billion to fund its pioneering green steel project. It has already signed a contract with Thyssenkrupp Nucera AG & Co KGaA to reserve electrolyser production capacity of 700 MW for the plant.

(EUR 1.0 = USD 1.076)