RWE will supply green electricity to the DRI plant in Duisburg
German companies Thyssenkrupp Steel and RWE have signed a long-term power purchase agreement (PPA) to supply green electricity to the first direct reduction plant in Duisburg, which will be equipped with electrically driven smelters. This is stated in the Thyssenkrupp message.
The 10-year contract provides for the supply of electricity worth 112 GWh per year. The electricity will be generated at RWE's Nordsee Kaskasi offshore wind farm.
According to Thyssenkrupp, this means that offshore wind energy will make a significant contribution to the energy supply for the tkH2Steel transformation project in the future and will also help achieve climate targets. Additional contracts with your producers will be needed to fully supply the system with green electricity.
In combination with two electrically driven melting furnaces, the direct reduction unit will be integrated into the Duisburg steelworks as a technologically new combination.
The partnership with RWE is an important part of the energy strategy of the tkH2Steel transformation project for sustainable steel production.
“Renewable energy is a central element of our transformation strategy, along with the use of regeneratively produced hydrogen – a separate public tender for this purpose is currently underway. Cooperation with RWE is the first step towards meeting the renewable electricity requirements in the tkH2Steel project. By concluding this PPA, we are taking a step forward on the path to carbon-neutral production,” explains Dr. Arnd Köfler, Chief Technology Officer at thyssenkrupp Steel.
As Compraço previously reported, Thyssenkrupp Steel has received permission for the early start of construction of the first direct recovery plant at its Duisburg site. The tkH2Steel project is financed by the federal government and the governments of the German states in the amount of 2 billion euros, the company's own investments amount to almost one billion euros.