Swedish iron ore producer LKAB and global electrification provider Hitachi Energy have signed a long-term memorandum of understanding aimed at advancing LKAB’s shift toward fossil-free iron and steel production.
The collaboration focuses on integrating energy-efficient solutions and expanding renewable power use across LKAB’s industrial operations.
As part of the first phase, Hitachi Energy will deliver advanced power management systems and electrical equipment for LKAB’s planned sponge iron demonstration plant in Gällivare, which will employ hydrogen-based direct reduction technology. The facility is designed to produce 1.35 million mt per year initially, with plans to expand to 5.4 million mt annually in later stages.
LKAB CEO Jan Moström described the partnership as a crucial step toward electrifying production and meeting climate targets, emphasizing the importance of industrial collaboration for cost-effective and sustainable solutions. Tobias Hansson, Managing Director of Hitachi Energy Sweden, added that the energy transition “requires cooperation across sectors to make it a reality.”
The agreement aims to enhance efficiency, sustainability, and innovation in power transmission and grid stability. By combining Hitachi Energy’s expertise in electrification with LKAB’s leadership in mining and green steelmaking, the partnership sets a solid foundation for a fossil-free industrial value chain.
VietnamSteel by Hoa Sen Group
