Lhyfe signs UGITECH green steel ink hydrogen agreement with Swiss steel company

Steel production group Swiss Steel has revealed that it will incorporate green hydrogen into the steel manufacturing process at its Ugitech plant in Ugine after signing an agreement with Lhyfe, where Lhyfe will deploy its green hydrogen production technology.

The company aims to replace natural gas in various heat treatment equipment such as burners, heating furnaces and heat treatment furnaces. The company says that by switching to green hydrogen, it can avoid up to 16,000 tons of carbon dioxide (CO2) emissions during the production of 200,000 tons of steel per year.

Under the agreement, Lhyfe’s production unit will produce up to 12 tons of green hydrogen per day, with a maximum electrolysis capacity of 30MW (megawatts).

Philippe Desorme, deputy CEO of Lhyfe, said: “The steel industry is a major consumer of fossil fuels and one of the industrial sectors that should be prioritized for decarbonization.”

“To ensure the long-term survival of our industry, the energy transition will become increasingly necessary, and green hydrogen is becoming one of the pillars of this transition. It can and must be deployed as quickly as possible now, including in the steel industry.

The project is part of the HYDREAMS project, which aims to demonstrate the feasibility of replacing natural gas with dehydrocarbons in reheating and heat treatment furnaces.

Funded by an EU grant, HYDREAMS aims to reduce the partners’ total CO2 emissions by 4.5 million tonnes per year by 2032.

Frederic Perret, development director of Ugitech, said: “The project will start in April 2023 and end in October 2027. Through laboratory tests and industrial demonstrations, it will be verified that hydrogen combustion will not have a negative impact on the process and products.”

“The next step is to roll out this new solution to all systems that are not compatible with direct electrification options.”

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