#Finland #Inkoo #Blastr Green Steel #Cargill #Aurora Infrastructure

Blastr Green Steel Secures Financing for Sustainable Steel Production

Blastr Green Steel, renowned for its commitment to low-carbon steel production, has completed its second strategic partner financing round. This significant development aims to propel the creation of an integrated ultra-low CO2 steel value chain centered around its flagship steel plant located in Inkoo, Finland.

The current financing round brought in three of Blastr's founding investors alongside three new partners, all dedicated to sustainable development. Notable new investors include Aurora Infrastructure, known for providing cutting-edge solutions for asset financing and sustainable electricity network development in the Nordics, and Onvest Oy, a family-owned firm committed to fostering sustainable growth in the industry. Moreover, Security Trading Oy, another family investment company focused on building a resilient future, has joined the initiative.

In addition to these newcomers, original investors are also increasing their stakes in Blastr. This includes industry giant Cargill, the Finnish state-owned venture capital firm Tesi, and the company’s founder, Vanir Green Industries. Mark Bula, CEO of Blastr Green Steel, expressed enthusiasm toward welcoming the new partners and highlighted the significance of their shared vision for a sustainable steel sector. He stated, “The successful closing of this second partner round is a testament to our team's hard work and the soundness of our business model.”

The funds raised will further the development of the Inkoo steel plant, as well as the pellet plant expected to produce an impressive 6 million metric tonnes of direct reduction (DR) pellet feedstock annually. Blastr's innovative approach aims to reduce carbon emissions by 90% in comparison to traditional steelmaking processes, utilizing hydrogen instead of coal in the iron production phase and relying on carbon-free energy sources for feedstock generation. This mine-to-gate business model not only minimizes environmental impact but also positions Blastr as a pioneer in the low-carbon steel sector.

Highlighting the importance of this project, Robin Lindahl, CEO of Aurora Infrastructure, remarked, “Blastr's green steel initiative represents a vital industrial investment for Finland, accelerating the nation's transition towards sustainability.” He emphasized that the project leverages Finland's abundant renewable energy resources and creates numerous job opportunities, advancing local economic prospects through value-added processing initiatives.

Maria Toivanen, CEO of Onvest Oy, conveyed her belief in the importance of supporting the entrance of green steel production in Finland, underscoring their commitment to the green transition project, given their ownership of one of the largest steel service firms in the country.

In late 2024, Blastr took a significant step by submitting the Environmental Impact Assessment (EIA) report related to the Inkoo facility to Finnish authorities. This assessment concluded that the implementation of the facility can occur in a sustainable manner, paving the way for Blastr to seek environmental permits for the Inkoo project in 2025. As the global demand for green steel continues to rise, Blastr Green Steel is poised to play an instrumental role in shaping the sustainable steel landscape in Europe and beyond.