ZURICH (dpa-AFX) - ABB Ltd. (ABBNY, ABB.ST), a Swiss technology company, on Tuesday announced that it has secured orders to support Tata Steel's (TTST.L) major decarbonization project at its Port Talbot Steelworks in UK.
Construction work for Tata Steel's electric arc furnace or EAF project at Port Talbot is scheduled to begin this year.
ABB is expected to commission its technologies by 2027, ahead of the full operational start-up of the new EAF in 2028.
The investment is focused on energy transition and decarbonization, with the site set to shift to low-emission steel recycling.
The project is part of Tata Steel's over 1.25 billion pounds investment at the Welsh plant, which includes 500 million pounds in support from the UK Government.
The company will provide electrical power supply management, distribution equipment, and electromagnetic stirring technology to ensure safe, efficient, and optimized operations when a new 320-ton capacity electric arc furnace becomes operational in 2028.
Tata Steel UK aims to reduce CO? emissions by 30% by 2030 and produce fossil-free steel by 2045, targeting an estimated 90% emissions cut through this transformation.
Under the agreement, ABB will deliver a comprehensive range of electrical power distribution solutions, including high and low-voltage switchgear, power transformers, and distribution transformers
Additionally, under the main contract between Tenova, a provider of sustainable technologies for the metals industry, and Tata Steel, ABB will supply its ArcSave electromagnetic stirring solution.
The equipment, known as Consteerrer, is jointly developed by ABB and Tenova under an exclusive global partnership and is specifically designed for continuous charging EAFs. Consteerrer offers key performance benefits, including a 5% to 7% increase in productivity, 3% to 5% reduction in energy consumption, and a 1% yield improvement.
ABB is currently trading 0.76% higher at SEK 638.60 on the Stockholm Stock Exchange.
Tata Steel is currently trading 0.00% at 11.35 pence on the London Stock Exchange.
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