Hydnum Steel submits priority project application for the green steel plant to be built in Puertollano

• The document justifies the social and economic interests of the business initiative, as well as its public utility and strategic nature.
• The plant will begin operations in 2026 after an investment of 1,650 million euros and will create more than 1,100 direct jobs.

January 31, 2024. Hydnum Steel has submitted to the Regional Government of Castilla-La Mancha the priority project application for the green steel plant that the company will build in Puertollano. The document sets out the characteristics of the business initiative, the justification of its social and economic interests on a regional level, as well as its public utility and strategic nature.

Recognition as a priority guarantees preferential administrative processing and shortens the time required for its implementation, especially in terms of territorial and urban planning. Among other advantages, the declaration of regional interest for the project is implicit and will allow to reduce by half all the deadlines contemplated in the approval procedure of the Project of Singular Interest. It also includes economic and financial incentive measures.

The Puertollano factory is one of the European reference projects in producing steel without generating CO₂ emissions thanks to the use of renewable energies.

The plant will start operations in 2026, following an investment of more than €1.65 billion. Initially with an annual production of 1.5 million tons of hot-rolled steel coils, the capacity will be expanded to 2.6 million tons as of 2030.

Strategic regional and state project

The application submitted today underlines that Hydnum Steel will not only lead to direct investment and more jobs in the Puertollano area but will also be an important driving force in attracting other companies for maintenance activities and auxiliary services, which will generate new indirect employment opportunities.

In addition to its local and regional impact, the green steel plant upholds a commitment to the reindustrialization of Spain and the autonomy of the domestic market, both national and European, mitigating the trade deficit of a strategic product such as steel.

Innovative and decarbonized industry

The plant aims to become a model of decarbonization. It will have virtually zero environmental impact by eliminating CO₂ emissions throughout the entire production process, eradicating dependence on fossil fuels such as coal or natural gas.

Hydnum Steel is committed to innovation through technology, digitalization, robotics, process automation and artificial intelligence. This will not only contribute to more efficient plant management but will also ensure process quality and safety.

The project is in line with the Sustainable Development Goals (SDGs) focused on the steel sector and includes measures framed within the circular economy to increase the reutilization of resources, recycling and recovery of waste generated during manufacturing.