The Stahlwerk Thüringen steel mill and the gas pipeline network provider Ferngas plan to connect the plant in Unterwellenborn to the hydrogen network starting in 2027. Both parties concluded a memorandum of understanding for this purpose. The next concrete planning and technical preparation steps for connection to the hydrogen network are to be taken in the near future.
Support from Thuringian Ministry for Economic Affairs
Economic Undersecretary of State Carsten Feller says
“I welcome this partnership. The Thuringian Ministry for Economic Affairs has already indicated to the German Federal Ministry for Economic Affairs how important it is to connect the energy-intensive steel mill in Unterwellenborn to the planned core hydrogen network.
On the part of the state, we will also do everything in our power to create the necessary framework conditions for the steel mill’s hydrogen network connection. After all, securing industrial jobs there is also at stake.”
The steel mill in Thuringia has long aimed to decarbonise its products and already uses 100 percent renewable electricity for its “green steel”. The decision to obtain "green" hydrogen via the network infrastructure in the future is another important milestone in decarbonising steel production to a great extent. The hydrogen produced without CO2 is to gradually replace the natural gas used in important production steps.
Initially, the hydrogen is expected to account for more than half of the previous volume of natural gas. Subsequently, the plan is to successively increase the proportion of hydrogen. As in other energy-intensive processes that require high energy output in conjunction with large continuous amounts of energy, hydrogen plays a relevant role here.
Electrifying these process steps is only possible to a comparatively minor degree considering the current state of the art. This requires technical conversions from natural gas operation to a natural gas-hydrogen mix in the corresponding plants.
Connection to hydrogen network maintains competitiveness
The partnership demonstrates the commitment of both companies to a sustainable and future-oriented industry.
Alexander Stolze, Head of Purchasing and officer with general commercial power of representation at Stahlwerk Thüringen GmbH, says
“The plans to connect our plant to the hydrogen network represent a milestone for us. We want to take the next step towards sustainable development in the steel industry and highlight our leadership role by utilising more environmentally friendly technologies. Connection to the hydrogen network will maintain our competitiveness and will strengthen Stahlwerk Thüringen’s position as a centre of low-emission steel production.”
Together with other German gas pipeline network providers, Ferngas communicated its current planning status for a core hydrogen network to the public on 12 July 2023 detailing the plans for hydrogen highways in Germany, so to speak. At the same time, Ferngas and its customers are considering the question of how to implement the connections to these highways. Regions and customers not directly adjacent to this core network are also taken into account in the process.
In the opinion of Kevin George Greiling, Head of Network Management at Ferngas,
“Legislators now have to make it possible for this core hydrogen network to be implemented quickly. In this way, the connection of the steel mill to the hydrogen infrastructure will also be the start of H2 development for the entire region. Converting the pipeline will allow for the sustainable supply of industry and heat supply in the tri-city area. To this end, we are conducting close talks with other network users, not only with users of this pipeline.”
Ferngas Netzgesellschaft mbH, with offices in Schwaig near Nuremberg and in Erfurt, wants to create the necessary infrastructure in order to supply hydrogen to the steel mill. This also involves converting an existing natural gas pipeline of about 70 kilometres in length between the Erfurt area and Unterwellenborn.
In order to make the switch to hydrogen, Ferngas needs to obtain permits and proof that H2 is suitable for operations at the steel mill, as well as the regulatory framework from the legislators in order to operate the hydrogen pipelines.
