SHS-Stahl-Holding-Saar launched a hydrogen tender for the Power4Steel project on 26 March. The aim is to procure up to 50,000 tonnes of locally produced green hydrogen for the production of green steel by 2027/28.
Saarstahl AG, Aktiengesellschaft der Dillinger Hüttenwerke (Dillinger) and the joint subsidiary Roheisengesellschaft Saar mbH (Rogesa) have a high demand for hydrogen to decarbonise their steel production. SHS has now launched a hydrogen tender to cover this demand.
From 2027/28, the Power4Steel project plans to produce up to 3.5 million tonnes of green steel per year by SHS and its subsidiaries Dillinger, Saarstahl and Rogesa. From 2030, the companies want to save 55% CO₂ in line with the EU's "Fit for 55" target. As a first step, the plan is to convert up to 70% of production to be climate-friendly. SHS intends to achieve this by building a direct reduction installation (DRI) at the Dillingen site and one electric arc furnace (EAF) each in Dillingen and Völklingen.
According to the Group, it will need up to 50,000 tonnes of H₂ per year from 2030. In the future, demand could rise to 120,000 to 150,000 tonnes per year.
Regional hydrogen producers wanted
The tender is aimed at sourcing hydrogen regionally from suppliers along MosaHYc, the hydrogen island network in the Grande Région,
network in the Grande Région. The tender should be finalised by the end of the year.
Jonathan Weber, Chief Transformation Officer at SHS, explained that the steel company wants to offer its customers the first CO₂-reduced steel from Saarland from 2027/28.
Last December, Federal Minister of Economics Robert Habeck visited Völklingen in Saarland and promised Dillinger and Saarstahl a total of around 2.6 billion euros for their "Pure Steel+" transformation project.
