Jacobs wins €2.3 billion decarbonisation project in Germany

Engineering services giant Jacobs has been appointed as the programme and construction management (PMCM) partner for Thyssenkrupp Steel’s €2.3 billion initiative to decarbonise its steel mill in Duisburg, Germany.

The ThyssenKrupp Steel Europe plant in Duisburg, Germany The ThyssenKrupp Steel Europe plant in Duisburg, Germany. Photo: REUTERS/Leon Kuegeler

This project is said to be one of the world’s largest industrial decarbonisation endeavours.

Thyssenkrupp Steel’s Duisburg site is Europe’s largest steel mill, and the project includes the delivery of a green hydrogen-powered direct reduction plant, set to revolutionise the conventional iron reduction process.

The operation will replace traditional coal-powered blast furnaces with hydrogen-powered electric smelters.

As the PMCM partner, Jacobs will be responsible for the overall coordination and management of engineering services, assembly, and logistics.

Huge emissions reduction

The scope of work also includes construction management and supporting contract management, assembly management of the engineering procurement construction (EPC) contractor for the direct reduction plant, and interface management across the construction and assembly teams.

Scheduled to be in operation by the end of 2026, the plant is expected to produce an annual output of 2.5 million metric tons of direct reduced iron (DRI), simultaneously reducing carbon emissions by 3.5 million metric tons per year.

Patrick Hill, Executive VP at Jacobs, said, “This is a major project with a complex undertaking delivered through an integrated German and international team.

“The implementation of this emerging technology is an important step in transforming the industry and supply chain in Europe and beyond.”

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