Gensol Engineering has partnered with Matrix Gas & Renewables, a player in natural gas aggregation and green hydrogen to develop India’s first green steel production facility. This facility will utilise 100 percent green hydrogen in a significant move towards sustainable steel production.

The project’s total capital expenditure is estimated at Rs 321 crore, with the Government of India (GoI) providing 50 percent capex incentives to support the initiative. It is one of three pilot projects sanctioned under the National Green Hydrogen Mission by MECON, in alignment with the Ministry of Steel (MoS) and the Ministry of New and Renewable Energy (MNRE). 

The facility will employ direct reduced iron (DRI) vertical shaft technology for converting iron ore into sponge iron. The new approach will replace coal and natural gas, eliminating CO2 emissions for clean production. 

Furthermore, developed for Indian-grade ore, this process will support Matrix’s goal to set up green steel plants for medium-to small-scale producers in Chhattisgarh, Odisha, and other regions across India.