Ilsenburger Grobblech GMBH – a subsidiary of Salzgitter AG – and GRI Renewable Industries have signed an innovative partnering agreement, thus expanding their long-standing cooperation to include the possible processing of low-CO2 steel products in wind towers.
The Salzgitter Group’s partnering programme offers companies the opportunity to secure a defined tonnage of green steel today as part of an economic commitment, which is to be produced and supplied from the end of 2025 as part of SALCOS- Salzgitter Low CO₂-Steelmaking. In addition, both companies intend to cooperate in the further development of steel grades.
GRI Renewable Industries is a leading manufacturer of wind turbines and an important customer of ILG. Both companies strive for the highest standards in product quality and sustainable as well as low-CO₂ production and want to occupy leading positions in this field as well.
Antonio Barbosa, CEO at GRI Renewable Energy Industries, said: The renewable energy sector is a pillar in the decarbonisation of the economy and GRI Renewable Industries, as a committed player in this sector, considers the value chain greenhouse gas emission reduction in the wind energy sector, as a key element in the company strategy. This justifies the sense of this agreement by which we commit to work together pioneering the availability of physically low CO2 steel for the wind power industry.
Dr. Sebastian Bross, Managing Director of Ilsenburger Grobblech added: “The wind power industry is a strategic target sector for Ilsenburger Grobblech GmbH. Due to this strategic direction, this customer segment is a perfect fit for our portfolio green and renewable steel. This partnering agreement will enable us to develop processes and products together and confirms our pioneering position in the emerging markets for green steel.”
Low CO2 production through the hydrogen-based direct reduction process. With the aim of massively reducing CO2 emissions in steel production, Salzgitter AG intends to gradually switch the production of steel to a hydrogen-based route under its SALCOS – Salzgitter Low CO2-Steelmaking program.
In contrast to the former process involving blast furnaces, hydrogen and green electricity will replace the carbon formerly required for producing steel. By harnessing this process, Salzgitter AG plans to incrementally lower the CO2 emissions in steel production to less than five percent of the original emissions volume.