Hydnum Steel Secures 150 Million Euro Investment for Pioneering Green Steel Plant in Spain
Hydnum Steel has secured a commitment of 150 million euros in investment from the Cofides Co-Investment Fund FOCO managed by Cofides to develop its industrial complex in Puertollano Ciudad Real. This facility will be the first of its kind on the Iberian Peninsula to produce clean steel, marking a major milestone in sustainable manufacturing.
The project is part of a broader financial plan that will mobilise over 1.5 billion euros in total investments. Of this sum approximately 600 million euros will come from equity with the remaining 1 billion euros secured through debt financing. The initiative enjoys institutional backing from Cofides and the Second Industrial Decarbonisation Special Programme PERTE II. It is driven by Russula the project promoter alongside a consortium of industrial and financial partners.
Since its announcement in 2023 Hydnum Steel has progressed significantly in its technical and commercial development. Key milestones include securing favourable regulatory decisions from the Guadalquivir Hydrographic Confederation and obtaining access to 500 megawatts of the national electricity grid via the Brazatortas substation. According to its roadmap site earthworks and construction works are expected to commence by the end of this year.
Furthermore the project has achieved commercial commitments covering 100 percent of the first phase production capacity for the first five years of operation. This indicates strong market demand and regulatory support positioning Hydnum Steel for rapid development.
Angela Perez Chairperson and Chief Executive of Cofides emphasised that Hydnum Steel epitomises projects supported through the Cofides Co-Investment Fund that contribute to transforming key strategic sectors of the economy. She highlighted its innovative industrial approach sustainable production and capacity development as vital to Europes decarbonisation ambitions.
Eva Maneiro CEO of Hydnum Steel described the backing from Cofides and the allocation of PERTE funding as a vital impetus for the project. She reaffirmed their commitment to reindustrialisation and decarbonisation stating that the project aligns with Spains and the EU's goals for industrial and energy sovereignty. The investment signals a notable step forward in advancing the EU's green industry transition.