ASA subsidiary Nel Hydrogen Electrolyser AS and Statkraft AS have signed a letter of intent for the delivery of 40-50 MW of alkaline electrolysers to support green steel production by Celsa Armeringsstal AS at Mo Industripark in Norway. The green hydrogen produced by the plant will be used in a production process of steel reinforcing products as an alternative to fossil fuels, and hence lower the carbon footprint of the process.

Statkraft is together with Celsa and Mo Industry park planning to establish a complete value chain for green hydrogen for industrial use in a high temperature process where the end-product is reinforced steel. Today, this process leads to annual CO2-emissions of approximately 100,000 tons/year, and through introducing green hydrogen in the process, emissions can potentially be reduced by 60%. The project is targeted for operation by end of 2023. The parties have also identified a number of other industrial opportunities for green hydrogen in the Industry park, and have the intention to increase the electrolyser capacity in a number of steps towards 2030.