Blastr Green Steel secures additional financing for ultra-low CO2 steel value chain

Blastr Green Steel (Blastr) has successfully completed a second strategic partner financing round, further advancing its plans to develop an integrated ultra-low CO2 steel value chain in Europe. The company’s flagship steel plant, located in Inkoo, Finland, is a key component of this initiative.

The financing round included three of Blastr’s founding investors alongside three new investors from Finland, all of whom share a commitment to sustainable growth. The new investors are:

• Aurora Infrastructure, a company specializing in asset financing, transfer, and development of electricity networks across the Nordic region.

• Onvest Oy, a family-owned company focused on supporting sustainable business growth.

• Security Trading Oy, a family investment firm dedicated to fostering a more resilient and sustainable future.

Additionally, Blastr’s existing investors—Cargill, a global leader in the steel industry; Tesi, Finland’s state-owned venture capital and private equity investment company; and Vanir Green Industries, Blastr’s founder—provided further capital and increased their ownership stakes.

Blastr Green Steel CEO Mark Bula expressed appreciation for the continued support of the company’s founding investors and welcomed the new partners. “The successful closing of this financing round underscores confidence in our business model and mine-to-gate value proposition,” he said.

The funds will be used to advance the development of Blastr’s steel plant in Inkoo and further progress its pellet plant, which aims to produce six million metric tonnes of direct reduction (DR) pellet feedstock annually.

Blastr’s approach focuses on a low-carbon steel production process, which reduces CO2 emissions by 90% compared to conventional steelmaking. This is achieved by replacing coal with hydrogen in the iron production process and using carbon-free energy sources.

Robin Lindahl, CEO of Aurora Infrastructure, emphasized the significance of the investment for Finland’s industrial landscape. “Blastr’s green steel project is a critical step in accelerating Finland’s transition to a sustainable future. By leveraging the country’s renewable energy resources and existing infrastructure, this initiative contributes to job creation and economic growth,” he said.

Maria Toivanen, CEO of Onvest Oy, highlighted the importance of the project in Finland’s steel industry. “As a family company, we are proud to support the introduction of green steel in Finland. This project aligns with our commitment to sustainability and complements our existing steel service operations,” she noted.

In late 2024, Blastr submitted an Environmental Impact Assessment (EIA) report for the Inkoo plant to Finnish authorities. The report concluded that the facility can be developed in an environmentally sustainable manner. Based on these findings, Blastr plans to apply for environmental permits for the project in 2025.

Source and Photo: Blastr