The GravitHy sustainable iron company is being launched by a consortium that consists of EIT InnoEnergy, Engie New Ventures, FORVIA, GROUPE IDEC, Plug, and Primetals Technologies, and will be supported by an initial €2.2 billion investment.
The green iron company will contribute to Europe’s Fit for 55 package’s efforts to decarbonize difficult-to-abate industries and support the rising demand for zero carbon steel.
Construction on the first GravitHy plant is scheduled to begin in 2024 in the southern French town of Fos sur Mer, with completion anticipated by 2027, pending regulatory approvals.
One of the top carbon emitting industries is the steel industry, which accounts for 7% of energy sector CO2 emissions (including process emissions) and 8% of global energy demand each year.
By producing and using green, low-carbon hydrogen to create DRI, GravitHy helps to reduce emissions. DRI will either be used locally as a feedstock for green steel or traded internationally as hot-briquetted iron (HBI).
This directly supports the EU’s goal of becoming carbon neutral by 2050 and aids in decarbonizing the challenging steelmaking value chain.