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December 3, 2024

Stegra and Uniper enter 6 TWh electricity agreement

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Stegra and Uniper enter 6 TWh electricity agreement

Stegra and Uniper have signed a long-term agreement for the supply of 6 TWh of electricity to Stegra’s plant in Northern Sweden.

In a long-term power purchase agreement (PPA) with Uniper, Stegra secures a yearly supply of electricity produced over the 6-year period ranging from 2027-2032, covering a total of 6 TWh.

Stegra’s plant in Boden will produce green hydrogen, green iron and green steel, at large scale. The initial annual volume will be 2.5 million tonnes of green steel and operations will start in 2026.

Significant volumes of electricity are needed to power the 700MW electrolysis plant that will generate green hydrogen, which in turn will reduce iron ore to green sponge iron that will feed the steel production at Stegra’s plant in Boden. Through this collaboration with Uniper, Stegra has secured another important part of its electricity supply.

We are proud to support the ongoing transition of the energy system by being a reliable and innovative partner to industrial off-takers

Johan SvenningssonCountry Chairman at Uniper

The agreement with Uniper forms the base for a strategic partnership with a player which can provide us with long-term access to electricity for our plant in Boden, set to produce green hydrogen, green iron and green steel at scale. This electricity delivery is central to our strategy and a key step towards accelerating reductions of industrial emissions in Europe

Arne Österlind Head of Energy Portfolio at Stegra

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