The name change, competition with Hybrit and 1,500 new jobs – a lot of interest in Stegra’s green steel mill in Boden when the company met the people of Boden.

Around 250 people gathered at Folkets Hus to receive an eagerly awaited update from Stegra’s CEO, Henrik Henriksson. During the meeting, participants gained insight into the ongoing construction of the green steel plant, the background to the name change from H2 Green Steel, as well as how the project is financed and what it means for future customer relations.

“We are on schedule and expect production to start in mid-2026. It is no longer a question of if we can press the green button, but when. Everything is in our hands,” said Henrik Henriksson.

He bases his optimism on the fact that all the important elements are now in place: the customer base is secured, deliveries of building materials to the site are working, and the budget is on track. So far, they have not had to use reserve funds, which Henriksson says puts them in a strong position for the future.

“It is built into our financing that there is money that can act as a kind of reserve and for us to trim the factory until 2028. This means that we can prepare well before we reach full profitability,” he explained.

However, Mr. Henriksson was clear that the start-up phase will present challenges. He referred to his previous experiences from Scania and emphasized that it is not easy to get a new factory up and running.

“Problems are bound to arise, it is inevitable. But with the buffer we have built up, I am confident that we will be able to handle them.

After the presentation, the audience had the opportunity to ask questions, and the interest was so great that the meeting went on for over an hour. Some of the questions concerned Stegra’s relationship with its competitor Hybrit, which includes both LKAB and Vattenfall.

Mr. Henriksson expressed great respect for the work of Hybrit and their progress in the production of green steel. However, he said that competition between the companies is rather an advantage, as it drives innovation and strengthens Sweden as a leading player in the green transition.

“Look at Scania and Volvo, who together have made Sweden one of the world’s largest truck manufacturers. I think it’s good for Sweden if we will have two players that become world leaders in green steel.

Local workforce and international skills

A recurring theme of the meeting was the 1,500 jobs expected to be created when both the steel mill and the hydrogen plant are completed. Stegra has already started building the teams that will manage the different departments, and a significant part of the skills in the steel mill itself, which is one of the plant’s three production platforms, is planned to come from North America.

“There hasn’t been a steel mill built in Europe for over 40 years. The technology we use, with the electric arc furnace, is well established in the US, and it is important that we get specialists in early in the process so that they can train the next generation here in Sweden,” said Henriksson.

A similar approach will be taken in other departments, but he emphasized that a large part of the workforce will be recruited from Sweden, including local talent. In the long term, Henriksson sees a need to train more high school engineers, who after a four-year technical education can go directly into working life.

“This is something we are looking at together with the municipality to secure the long-term supply of skills,” he explained.

The links to Northvolt

Northvolt’s situation in Skellefteå was also brought up during the Q&A session, given the companies’ connections through majority owner Harald Mix’s investment company Vargas. Henriksson lamented the challenges Northvolt has faced, but emphasized that Stegra is a completely different company with other conditions.

“We have a broad ownership base and customers in several different industries, not just automotive. Our steel will have the same properties as traditional brown steel, but with a manufacturing process that reduces carbon dioxide emissions by 95% – that’s where the innovation lies,” said Henriksson.

Steel plant at full capacity in 2030

Stegra is currently building the world’s first full-scale green steel mill and Europe’s largest hydrogen plant at Boden Industrial Park. When the plant reaches full capacity in 2030, it is expected to produce 5 million tons of green steel per year and in 2026, production and ramp-up to 2.5 million tons is expected to start. Boden Industrial Park, with an area of 550 hectares, has become Sweden’s largest zoned industrial area, of which Stegra’s area covers 270 hectares.