Metallurgical startup Stegra, formerly known as H2 Green Steel, has reached an agreement with Swedish mining company LKAB to conduct test deliveries of iron ore pellets by the end of 2026. The deliveries will take place after the completion of railroad track work, ensuring smooth logistics operations.
The pellets will be used in Stegra’s production of green hydrogen, sponge iron, and steel. The company plans to process the hydrogen rolls in its 145-meter-long direct reduction unit. CEO Henrik Henriksson emphasized that the test deliveries mark the beginning of a long-term partnership, strengthening Sweden’s supply security and advancing its green industrial transition.
Stegra is developing a large-scale clean steel plant in Boden, Sweden, which will feature an electrolytic cell, a direct reduction unit, two electric arc furnaces, and cold rolling and finishing facilities. The facility is set to be operational in 2026.
In December, Stegra signed a long-term power purchase agreement (PPA) with Germany’s Uniper to secure 6 TWh of electricity for the Boden plant from 2027 to 2032. The electricity will power the 700 MW electrolysis plant required for green hydrogen production.
