Gensol Engineering and Matrix Gas & Renewables Consortium awarded project for developing India’s First Green HydrogenPowered Steel Facility

Ahmedabad : Gensol Engineering Limited, a prominent company in the renewable energy sector specializing in solar engineering, procurement, and construction (EPC), has joined forces with Matrix Gas & Renewables, a major player in natural gas aggregation and green hydrogen, to establish India’s first and largest Green Steel production facility. This facility will use 100% Green Hydrogen, representing a significant advancement in sustainable steel production.

It is one of three pilot projects sanctioned under the National Green Hydrogen Mission by MECON, in alignment with the Ministry of Steel (MoS) and the Ministry of New and Renewable Energy (MNRE), representing significant technological advancement in sustainable steel production in India. The project’s total capital expenditure (capex) is estimated at INR 321 Crore, with the Government of India providing 50% capex incentives to support this groundbreaking initiative. This investment underscores the shared commitment of both the government and the consortium to promote sustainable development and reduce carbon emissions in the steel industry.

The facility will employ direct reduced iron (DRI) vertical shaft technology to convert iron ore into sponge iron. Developed for Indian-grade ore, this process will support Matrix’s broader goal of establishing similar Green Steel plants for medium- to small-scale producers in Chhattisgarh, Odisha, and other regions across India. Traditionally, sponge iron production relies on fossil fuels, emitting CO₂ in the process. By utilizing green hydrogen produced with renewable energy, this new approach will replace coal and natural gas, eliminating CO₂ emissions—a major leap forward in clean iron production.