SHS Group and Verso Energy Sign Landmark Hydrogen Supply Deal to Decarbonize Steel Production

The SHS Group, parent of Dillinger, Saarstahl, and ROGESA, has signed a long-term agreement with French energy company Verso Energy for the supply of at least 6,000 tons of renewable hydrogen per year. Beginning in 2029, the ten-year contract will provide certified RFNBO hydrogen for SHS’s Power4Steel transformation program, a cornerstone of Saarland’s move toward climate-friendly steelmaking.

Hydrogen will be produced at Verso Energy’s CarlHYng project in Carling, France, powered by renewable electricity. The gas will be fed into the cross-border mosaHYc pipeline network—commissioned in April 2024—and transported directly to SHS’s Dillingen and Völklingen plants. Combined with scrap steel, new direct reduction and electric arc furnace technologies, the hydrogen supply is expected to cut SHS’s CO₂ emissions by up to 55% in the early 2030s.

The contract represents the first secured hydrogen volumes for SHS, marking a milestone in its strategy to eventually use up to 120,000 tons of hydrogen annually, making it the largest industrial hydrogen consumer in the Greater Region.

Statements from key stakeholders:

  • Stefan Rauber, CEO, SHS Group: “We are firmly committed to climate-friendly steel production. This hydrogen supply is critical to the success of our Power4Steel project and to maintaining Saarland’s industrial strength.”

  • Jonathan Weber, Chief Transformation Officer, SHS Group: “With Verso Energy as a partner, we have secured our entry into hydrogen-based steel production—an important step toward achieving our decarbonization goals.”

  • Xavier Caïtucoli, President, Verso Energy: “This project shows that hydrogen makes low-carbon steel a reality. We are proud to contribute to Europe’s industrial and energy transition.”

  • Antoine Huard, CEO, Verso Energy: “This will be one of the first dedicated green hydrogen plants for steelmaking in Europe, helping catalyze a sovereign and sustainable industrial base.”

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Political leaders in Germany and Saarland also welcomed the agreement, calling it a milestone for both the regional hydrogen economy and the European steel sector.

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