ArcelorMittal inks two solar projects in Brazil

SAO PAULO, August 22, 2024 – ArcelorMittal Brazil has signed contracts for the development of two solar energy projects with a combined capacity of 465 MW to power its steel plants in the country, the company announced on Wednesday.

The first project will see the construction of a 200-MW solar power plant on the site of a planned 554-MW wind farm in the state of Bahia. Both facilities are being developed with Casa dos Ventos, one of Brazil’s largest renewable energy developers, in a joint venture in which ArcelorMittal holds 55%.

The second project is a 50-50 joint venture with independent renewable energy company Atlas Renewable Energy to develop a 265-MW solar energy plant within the Luiz Carlos Solar Photovoltaic Complex in the state of Minas Gerais. Once the solar plant becomes operational, ArcelorMittal will acquire Atlas’ shareholding and take 100% ownership.

“Securing a long-term supply of renewable energy is an important lever within our decarbonisation strategy in Brazil. In addition to ensuring the supply of our industrial plants with their own source of renewable energy, the investments aim to diversify our energy matrix, reduce operating costs and increase our competitiveness,” said Jefferson de Paula, president of ArcelorMittal Brazil and CEO of ArcelorMittal Brazil Long Products.

ArcelorMittal is the largest steel producer in Brazil. The company estimates that the combined capacity of the new solar plants will meet around 14% of its current electricity requirements. Both solar projects are subject to the approval of Brazil’s antitrust authority, with commissioning expected before the end of 2025.

Read our latest insights on: