Stegra and Uniper’s agreement on electricity supply

Stegra signed a long-term power purchase agreement (PPA) with Uniper under which Stegra agreed to supply a total of 6 TWh of annual electricity generated over a 6-year period between 2027 and 2032. Green hydrogen, green iron and green steel are to be produced at Sterga's plant in Boden. The initial annual production capacity is 2.5 million tons of green steel and operations are scheduled to start in 2026.

Stegra's plant in Boden reportedly requires significant amounts of electricity to power the 700 MW electrolysis plant that produces green hydrogen to convert iron ore into green sponge iron to support steel production.

Arne Österlind, Head of Energy Portfolio at Stegra emphasized the importance of the agreement: “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.”