Editor’s choice
Editor’s choice
The authors assessed the financing requirements and feasibility of an archetype green hydrogen-based ironmaking project in a developing country, for export of green iron into developed countries where steel can then be produced.
Manual Worker using gas cutting steel in workshop.
The iron/steel industry is one of the highest emitting sectors, contributing 7–9% of overall global emissions. As population and economic growth will demand more steel as a key building block of society, the need to decarbonize the sector is critical.
This paper assesses the financing requirements and feasibility of an archetype green hydrogen-based ironmaking project in a developing country, for export of green iron into developed countries where steel can then be produced. This work assesses technical and market challenges which may face such a project and suggest potential solutions, including in relation to the supply of clean electricity and raw materials to market exposure and the possibility of absorbing the green premium. The authors also discuss possible project commercial structures, including key agreements which will be needed in place to make the project financeable, along with debt and equity requirements of the project.
Project / The Leadership Group for Industry Transition (LeadIT) aims to enable the transition of heavy industry towards net zero carbon emissions by 2050.
One-SEI program / Our mission is to help accelerate the allocation of capital to sustainable economic activities.
Other publication / This brief reviews the performance of the global green steel and green iron sectors in 2025, giving policy signals and developments to watch in 2026.
SEI report / This document offers a snapshot of the electric transmission sector in Colombia as of 2025.
Press release / SEI US Centre Director Ed Carr was appointed to head a global panel advising on environmental financing and investments.
