NCC and SSAB sign agreement for the construction of a new steel mill in Luleå

NCC and SSAB have signed a partnering agreement for the planning and execution of building and civil engineering work for a new steel mill in Luleå.

The new steel mill at Svartön in Luleå is part of SSAB’s strategy to offer emission-free special and premium steel. When the plant is complete, SSAB will discontinue the existing furnace-based production system in Luleå.

NCC and SSAB have signed an agreement for building and civil engineering work for the eastern half of the project, which will house two electric arc furnaces, secondary metallurgy and the direct strip rolling mill. SSAB estimates that the new steel mill will enter operation at the end of 2029.

“The new steel mill in Luleå will play a key role in the transformation of our Nordic production system. The mill will be world class in terms of technology, which will provide us with increased flexibility and an improved cost position. Concurrently, it will also enable us to reduce Sweden’s carbon emissions with seven percent. NCC is strongly positioned for executing complex construction projects and has a clear focus on sustainability. We look forward to working with NCC,” says Carl Orrling, SSAB’s CTO and Head of Transformation Office.

“We are very proud that SSAB has selected NCC as its strategic partner for this historic project. We will now work together to design and realize this important project. NCC’s long-standing experience of coordinating large, complex projects will play a crucial role in the above. Our early involvement in this process means we can assist both with resources and with specialist expertise to enable the design and construction of the new steel mill,” says Helena Hed, Head of NCC Green Industry Transformation. 

The part of the mill to be built by NCC covers approximately 40 hectares and includes a 15-hectare building complex.

NCC has been constructing a new industrial building for fossil-free steel production in Oxelösund for SSAB since 2024. The transition of the Oxelösund facility will reduce Sweden’s carbon emissions 3 percent. 

The various phases of the construction contract will be subordered as the project progresses within the NCC Green Industry Transformation business area.