The agreement builds on the Memorandum of Understanding signed on 13 April 2024, which involves key stakeholders, including the Tuscany Region, the Municipality of Piombino, Danieli Officine Meccaniche S.p.A. and Metinvest-Adria S.p.A. During the ceremony, Metinvest proposed to Adolfo Urso, Minister for Enterprises and Made in Italy, that the project be considered of national strategic interest, which could expedite its approval processes with the involvement of the Council of Ministers.
The EUR2.5 billion project has already achieved certain milestones. SACE, Italy’s export credit agency, and the leading banking institutions, including Cassa Depositi e Prestiti, have officially expressed interest in providing financial support. On 18 October 2024, the Northern Tyrrhenian Sea Port System Authority confirmed the project's alignment with its development plans, while Metinvest-Adria finalised an agreement with JSW Steel Italia S.p.A steel company to secure access to industrial areas.
The project envisions the creation of one of the most advanced green steel plants in Europe with a capacity of 2.7 million tonnes per year. The plant will leverage technologies based on electric arc furnaces and recycled materials, including scrap, pig iron and direct reduced iron sourced from Ukraine.
The signing of a Programme Agreement is expected by early 2025. This document will define specific actions, including land remediation concessions, development contracts via Invitalia, the national agency for inward investment and economic development, employment protection measures, renewable energy initiatives and improvements to port infrastructure.
Yuriy Ryzhenkov, CEO of Metinvest Group, said: “This agreement is an important step towards the creation of one of Europe’s most sustainable steel plants. The project will help to strengthen the Italian steel industry and Ukraine’s mining operations, showcasing the potential of international cooperation in fostering sustainable industrial development. We would like to thank all the participants, particularly MIMIT, the Tuscany Region and the Municipality of Piombino, for their support.”
The project aims to reduce Italy’s dependence on steel imports while creating new employment opportunities in the Piombino region.