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India’s First Green Hydrogen Steel Facility Project Awarded

India's First Green Hydrogen Steel Facility Project AwardedGensol Engineering Limited has partnered with Matrix Gas & Renewables to develop India’s first and largest Green Steel production facility. This facility will utilize 100% Green Hydrogen, marking a significant step forward in sustainable steel production. 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), representing significant technological advancement in sustainable steel production in India.

The project’s total capital expenditure (capex) is estimated at INR 321 Crore, with the Government of India providing 50% capex incentives to support this groundbreaking initiative. This investment underscores the shared commitment of both the government and the consortium to promote sustainable development and reduce carbon emissions in the steel industry.

The facility will employ direct reduced iron (DRI) vertical shaft technology to convert iron ore into sponge iron. Developed for Indian-grade ore, this process will support Matrix’s broader goal of establishing similar Green Steel plants for medium- to small-scale producers in Chhattisgarh, Odisha, and other regions across India. Traditionally, sponge iron production relies on fossil fuels, emitting CO₂ in the process. By utilizing green hydrogen produced with renewable energy, this new approach will replace coal and natural gas, eliminating CO₂ emissions—a major leap forward in clean iron production.

Matrix Gas & Renewables Ltd., Gensol Engineering Ltd., Indian Institute of Technology Bhubaneswar, and Metsol AB (Sweden) will collaborate on this pilot plant, which will have a capacity of 50 tons per day (TPD). Matrix will oversee the entire project lifecycle, including land acquisition, environmental assessments, and all critical phases of design, engineering, procurement, and logistics. The scope of work will cover the manufacturing, supply, erection, inspection, installation, testing, and commissioning of the facility, along with the development of supporting infrastructure.

Commenting on this landmark development, Chirag Kotecha, Whole-time Director, Matrix Gas and Renewables Ltd., said, “We are proud to lead such a transformative project in India’s steel industry. This facility not only demonstrates our commitment to green hydrogen and sustainable practices but also places us at the forefront of India’s clean energy transition. We look forward to contributing to the nation’s renewable energy goals and collaborating with the Government of India and key stakeholders to ensure the success of this initiative under the National Green Hydrogen Mission.”

This project aligns with the Government of India’s vision for a sustainable future, reinforcing the nation’s commitment to green energy solutions while enhancing its industrial capabilities. The awarding of this contract highlights Matrix’s expertise and proven track record in delivering innovative energy solutions.

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Rashmi

I’m a passionate writer who loves storytelling and enjoys exploring different topics. Whether it's writing articles or engaging stories, I aim to inform and inspire readers. With each piece I create, my goal is to connect with people, engage them, and offer new perspectives that encourage meaningful discussions.

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