NIB finances Stegra’s water treatment facility

The Nordic Investment Bank (NIB) is providing an investment loan to JL Boden Water AB (“John Laing”) for the construction of Stegra AB’s (formerly H2 Green Steel AB) outsourced water treatment facility in Northern Sweden. The facility will supply industrial water for green hydrogen production and provide critical cooling for the green steel-making process. The loan is supported by the InvestEU program.

The new state-of-the-art water treatment facility in Boden will play a vital role in Stegra’s green steelmaking operations. Owned by John Laing, the facility will provide essential industrial water for green hydrogen production and cooling systems at the steel plant. Integrated into the existing infrastructure, the plant will treat water from the Lule River, ensuring its suitability for production and environmental standards.

The project is expected to be EU taxonomy eligible and contributes to the green transition in a traditionally hard-to-abate sector. By supporting sustainable processes, it will strengthen Europe’s energy independence and help decarbonise the steel industry.

Stegra’s steel plant will house the largest green hydrogen production plant in Europe. The aim is to produce 5 million tonnes of green steel annually by 2030. Targeting industries like automotive, white goods, and construction, the plant will set a new benchmark for green steel production.

“Given that the steel industry is responsible for a significant share of global CO₂ emissions, NIB’s support for Stegra’s pioneering project underscores our joint dedication to cutting emissions and driving the green transition both in the Nordic-Baltic region and globally,” says André Küüsvek, President & CEO of the Nordic Investment Bank.

Stegra is an industrial impact scale-up in the process of building its first plant for large-scale production of green hydrogen, green iron and green steel. The company’s purpose is to decarbonise hard-to-abate industry, starting with steel. The company was founded in 2020 as H2 Green Steel and changed its name to Stegra in 2024. Stegra’s flagship plant is being built in Boden, northern Sweden, and its headquarters are in Stockholm.  

The InvestEU programme provides the European Union, as well as Norway and Iceland, with crucial long-term funding by leveraging substantial private and public funds in support of policy priorities like the green and digital transitions. You can read more at NIB and InvestEU.

NIB is an international financial institution owned by eight member countries: Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway and Sweden. The Bank finances private and public projects in and outside the member countries. NIB has the highest possible credit rating, AAA/Aaa, with the leading rating agencies Standard & Poor’s and Moody’s.

For further information, please contact
Eva Nickull, Senior Banker, at +358 10 618 0314, eva.nickull@nib.int

Iiris Anttalainen, Communications, at +358 10 618 0257, iiris.anttalainen@nib.int