Arvedi will operate the plant near its electric arc furnace (EAF) facility in Cremona, Italy.
According to Danieli, the plant is designed to process 200 tonnes of ferrous scrap per hour, producing the optimum shredded grade for the EAF operation.
The Danieli Centro Recycling shredder, which will be commissioned this autumn, is described by the steelmaking and recycling technology supplier as a "high-performance, shredder-based steel scrap processing plant".
The shredder, which will help meet the feedstock needs of the nearby Cremona EAF plant, is expected to process around 1 million tonnes per year of what Danieli calls light-medium iron grades and sheared light demolition scrap.
Danieli says Acciaieria Arvedi's aim is to achieve a high-density quality product that guarantees the best EAF performances and to further minimise its carbon footprint.
On its website, Acciaieria Arvedi refers to its Cremona plant as "the first mini-plant in Europe and the second in the world for the production of flat-rolled steel". According to the company, since 2009 it has had "two complete lines, each with its own melting shop, for the production of hot-rolled steel in coils".