Construction Industry News
Tata Steel has signed a contract with Italian metals technology company Tenova to install an advanced electric arc furnace (EAF) at its Port Talbot plant in Wales, in a major step in its shift to green steelmaking. The furnace is expected to reduce carbon emissions at the UK’s largest steelworks by 90% per year once it becomes operational in late 2027.
The EAF, with an annual capacity of 3 million tonnes, replaces recently decommissioned blast furnaces and relies on domestically sourced scrap steel to ensure sustainable production.
“This partnership builds on our enhanced agreement with the government and reflects our commitment to the future of British steelmaking,” said UK Trade and Business Secretary Jonathan Reynolds. He stressed that technologies such as Tenova’s EAFs are crucial to decarbonising the steel industry, creating skilled jobs and securing economic stability in South Wales. Reynolds also noted that the government’s forthcoming £2.5bn Steel Strategy would provide additional support for the sector’s long-term growth.
The project is the result of a joint investment commitment of £1.25 billion by Tata Steel and the UK government, with Tata contributing £750 million and the government providing up to £500 million.
“This agreement will enable the transformation of our Port Talbot operations, which will help decarbonise the UK and drive economic growth in South Wales,” T.V. Narendran, CEO and MD, Tata Steel, said at the signing of the contract. He stressed that the initiative is in line with the company’s goal of providing low-carbon steel solutions and supporting customers in achieving their sustainability goals.
“This agreement will enable the transformation of our Port Talbot operations, which will help decarbonise the UK and drive economic growth in South Wales,” T.V. Narendran, CEO and MD, Tata Steel, said at the signing of the contract. He stressed that the initiative is in line with the company’s goal of providing low-carbon steel solutions and supporting customers in achieving their sustainability goals.
Paolo Argenta, Executive Vice President of Tenova, praised the collaboration, stating: “We are working with Tata Steel UK with exceptional transparency and collaboration, ensuring a successful project.”
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