Spanish steelmaker Hydnum Steel has announced that it has secured access to 500 MW of electricity capacity at the Brazatortas grid node in Ciudad Real province, achieving a key regulatory milestone for the development of Spain’s first clean steel plant. The allocated power capacity is sufficient to operate the project’s electric arc furnace.
Renewable-powered hot rolled coil production planned
The planned facility will operate as a fully digitally integrated steel plant focused on the sustainable production of hot rolled coil. Hydnum Steel aims to position itself as a supplier of low-emission European steel, supporting downstream industries seeking to decarbonize manufacturing operations.
Initial production capacity is expected to reach 1.5 million mt per year, with long-term expansion plans targeting output of up to 2.7 million mt annually. The project also seeks to address Europe’s structural flat steel supply gap, with EU countries currently importing nearly 11 million mt of flat products each year.
€1.5 billion investment to support industrial transition
Construction of the plant is scheduled to begin in 2026, supported by investment exceeding €1.5 billion. Designed to operate entirely using renewable electricity, the facility will eliminate fossil fuel use in primary steelmaking and is projected to reduce carbon emissions by up to 98 percent compared with conventional blast furnace-based production routes.