German steel holding company Stahl-Holding-Saar (SHS), which owns steelmakers Dillinger and Saarstahl, has announced a tender for the supply of up to 50,000 tonnes of locally produced renewable hydrogen.
The closed tender is part of SHS's "Power4Steel" decarbonization project, which aims to reduce up to 70% of carbon emissions from the company's steel production.
The purpose of the tender is to identify suppliers of green hydrogen along the MosaHYc cross-border hydrogen network in the Grande region to supply SHS's direct reduced iron (DRI) plant from 2027 onwards.
SHS is building a DRI plant in Dillingen and electric arc furnaces in Dillingen and Völklingen that will use hydrogen. The company's hydrogen demand is expected to reach 50,000 tonnes per year by 2030, potentially growing to 120,000-150,000 tonnes per year thereafter.
As part of the Power4Steel project, SHS and its subsidiaries are targeting the production of up to 3.5 million tonnes of green steel per year by 2027-2028.
The tender from SHS comes after Thyssenkrupp announced a similar tender in February for large volumes of green and blue hydrogen to supply its Duisburg steel mill from 2028 onwards.
In summary, the German steel producer SHS has launched a tender to procure up to 50,000 tonnes of locally-produced green hydrogen as part of its efforts to decarbonize steel production through the use of hydrogen-based DRI technology.