News Room - Steel Industry

Posted on 26 Apr 2023

Italian DRI plant to use H2 to decarbonise steelmaking

DRI d’Italia, the new company created last year by Italian state entity Invitalia, the majority shareholder of Acciaierie d’Italia (ADI), will use a mix of green hydrogen and methane to power the future direct reduced iron (DRI) facility planned to be built at ADI’s steelmaking complex in Taranto, Apulia, Southern Italy.

DRI d’Italia ceo Stefano Cao told local broadsheet Corriere della Sera that the project is now in the executive phase and construction should start by July following the completion of a feasibility study. Cao hinted that the company may sign an offtake agreement to buy the green hydrogen needed to power the facility from Alboran Hydrogen, for which the majority stakes are held by Edison Italy and Saipem.

In 2021, Alboran, Edison Italy and Saipem joined forces to build a green hydrogen valley in the region, the Apulia Green Hydrogen Valley project, a candidate for EU funding under the Important Projects of Common European Interest (IPCEI) scheme. They will manufacture three production facilities powered by photovoltaic energy in Brindisi, Taranto, and Cerignola for a combined capacity of 220 megawatts. The plants will produce up to 300 million normal cubic metres of green hydrogen per year. The H2 produced will be used to power local industry and sustainable mobility. Construction for the facility in Brindisi has started, Kallanish learns from Edison. The plant, with a capacity of about 60 MW, will be powered by photovoltaic equipment. In 2021, Saipem and Alboran Hydrogen announced they will build one more green hydrogen plant in Morocco and one in Albania.

In June 2022, five Italian regions signed a memorandum of understanding with the central government in Rome to kick-start a flagship project to build hydrogen facilities in Italy. The five regions of Piedmont, Friuli-Venezia-Giulia, Umbria, Basilicata, and Apulia will build research centres and production facilities (see Kallanish passim).

Source:Kallanish