The Metinvest Group of Rinat Akhmetov and the Ministry of Enterprises and Production of Italy have signed a historic declaration for the construction of a large green steel plant in the city of Piombino. The signing took place during a meeting between the governments of Italy and Ukraine in Rome, according to the company’s statement.
The €2.5 billion project involves the creation of one of the most modern green steel production plants in Europe, with a capacity of 2.7 million tons per year.
The plant will use technologies based on electric arc furnaces and secondary raw materials, including scrap, pig iron, and direct reduced iron, which will be supplied from Ukraine.
Construction is planned to begin in early 2025, with steel production set to start at the end of 2027.
A framework agreement is expected to be signed by early 2025. This document will define specific actions, including land reclamation concessions, contracts for development through the National Agency for Internal Investments and Economic Development (Invitalia), employment measures, renewable energy initiatives, and port infrastructure improvements.
The project has already made progress. Italy’s state-owned credit and export agency SACE, along with leading banks, including Cassa Depositi e Prestiti, have officially expressed interest in providing financial support.
Additionally, the Port System Authority of the Northern Tyrrhenian Sea has confirmed the project’s alignment with its development plans, and Metinvest-Adria has reached an agreement with steel company JSW Steel Italia S.p.A. for access to industrial zones.
"This agreement is an important step toward creating one of the most sustainable steel plants in Europe. The project will help strengthen Italy’s steel industry and Ukraine's mining sector, demonstrating the potential for cooperation in fostering industrial development. We thank all participants, including MIMIT, the Tuscany region, and the municipality of Piombino, for their support," said Yuriy Ryzhenkov, CEO of the Metinvest Group.
