Outokumpu Completes Feasibility Study for Small Modular Reactor Project, Seeks External Investment for Development

Outokumpu Completes Feasibility Study for Small Modular Reactor Project, Seeks External Investment for Development

(IN BRIEF) Outokumpu has completed a feasibility study for the potential construction of a Small Modular Reactor (SMR) near its Tornio plant in Finland, aimed at enhancing low-carbon energy availability. The study confirms the project’s feasibility and outlines several advantages, including the availability of sea cooling water and supportive changes in Finnish nuclear legislation. While Outokumpu will not invest directly in energy production, it seeks external investors to further develop the project. The initiative aligns with the company’s decarbonization strategy, which focuses on securing a stable electricity supply to reduce emissions and support clean energy projects like carbon capture and utilization (CCUS).

(PRESS RELEASE) HELSINKI, 13-Feb-2025 — /EuropaWire/ — Outokumpu has completed a detailed feasibility study on integrating emerging nuclear technology to enhance low-carbon energy availability, particularly through the use of Small Modular Reactors (SMRs). The study, which focused on the potential construction of an SMR near the company’s largest stainless steel plant in Tornio, Finland, has shown promising results. It confirms that the project is technically viable, with no major obstacles to proceeding with the construction of an SMR. Following the successful completion of the study, Outokumpu is now seeking external investors to partner in further developing and realizing the project.

The feasibility study examined various aspects, including technical solutions, legislative requirements, and environmental impacts of the proposed SMR location near Tornio. The findings suggest that SMR technology is already sufficiently advanced, and the location offers several advantages, such as access to sea cooling water due to the colder climate. Additionally, Finland’s evolving nuclear legislation is expected to provide a supportive environment for the development of nuclear power projects.

Stefan Erdmann, Chief Technical Officer at Outokumpu, stated, “The results of the feasibility study are highly positive, reaffirming the potential of an SMR project. While we have made the strategic decision not to diversify into energy production, we are committed to exploring the possibilities that emerging nuclear technology offers. We are now looking for a partner who is ready to take the project forward and invest in its development.”

Outokumpu’s focus on decarbonizing heavy industries is aligned with Europe’s broader goal of achieving carbon neutrality. This requires substantial amounts of clean energy, and nuclear power plays a crucial role in ensuring a stable and affordable energy supply. In Finland, nuclear energy is vital for maintaining baseload power and stabilizing electricity prices, which are essential for supporting industrial electrification and enabling new clean transition projects such as carbon capture and utilization (CCUS). SMRs, with their smaller size and greater flexibility, are viewed as a promising solution to strengthen Finland’s energy infrastructure more quickly than traditional large-scale nuclear plants.

Erdmann added, “Electricity is central to our decarbonization strategy, particularly as we electrify our production processes to reduce emissions and pursue initiatives like CCUS. The development of projects like SMRs, with an offtake agreement, offers significant advantages, particularly at our Tornio site, where the combination of biogenic waste streams (CO2) and carbon-free electricity can support the creation of green products such as bio-chemicals and bio-fuels.”

Energy represents around 10% of Outokumpu’s overall cost base, and the company is Finland’s largest electricity purchaser. As a leader in reducing CO2 emissions within the steel industry, Outokumpu remains committed to supporting efforts that contribute to a cleaner and more sustainable energy future.

Media Contact:

Investors: Linda Häkkilä, Head of Investor Relations, tel. +358 40 071 9669

Media: Päivi Allenius, SVP – Communications and Brand, tel. +358 40 753 7374

Outokumpu media phone +358 40 351 9840 / e-mail media(at)outokumpu.com

SOURCE: Outokumpu