Spain’s ArcelorMittal Asturias has signed a contract with Sarralle, an industrial engineering company, for the construction of a new electric arc furnace (EAF) in Gijón, with an annual capacity of 1.1 million tons. The project is part of ArcelorMittal Europe’s promise to cut carbon dioxide emissions by 35% by 2030.

The construction will begin in early 2024, and the new EAF was scheduled to be put into operation in the fourth quarter of 2025.

With the new EAF, the plant will turn to producing low CO2-emission steel for the long products sector, particularly steel rails and wire rods, which are produced via the blast furnace route. Besides, Sarralle will install a de-dusting system and waste heat recovery unit to maximize the facility’s efficiency.