SSAB and Stena Metall partner on recycled scrap metal deliveries

SSAB and Stena Metall have entered a strategic cooperation agreement to secure deliveries of recycled scrap metal from the Stena Nordic Recycling Center in Halmstad, Sweden, to SSAB’s new electric arc furnace in Oxelösund. This partnership aims to enhance the reuse of recycled metal within Sweden, bolstering a low-carbon value chain for steel production.

“On our journey toward fossil-free steel production, it is important to establish partnerships in the raw material sector. The agreement with Stena Metall is a significant step on the Swedish recycling market. Our transformation in Oxelösund means that we will reduce Sweden’s CO2 emissions by around 3 percent by producing steel from both recycled scrap metal and fossil-free sponge iron,” said Asma Manesh, Commodity Manager Scrap at SSAB.

Deliveries will align with the ramp-up of SSAB’s new electric arc furnace and will primarily utilize rail transport between Halmstad and Oxelösund. This method supports efficient and sustainable logistics within the supply chain.

“We are proud to continue our long-term collaboration with SSAB, which now also results in us contributing to the transformation to sustainable steel production. Simultaneously, we are jointly working on a solution that also includes recycling material from selected SSAB customers in Sweden,” said Fredrik Lyckesvärd, Head of Business Area Ferrous at Stena Recycling.

SSAB’s transformation involves converting its Nordic production system to produce steel with minimal fossil carbon emissions while increasing the output of premium steel products. The Oxelösund site is the first to undergo this transition, with the new production system expected to begin operations by late 2026.

Source and Photo: SSAB