Gensol Engineering Shares Rose ~2%: Announced Partnership With Matrix Gas & Renewables

On October 21, 2024, Gensol Engineering Limited announced that it has entered into a partnership with Matrix Gas & Renewables to develop India’s first and largest green steel production facility. This groundbreaking project, one of three sanctioned under the National Green Hydrogen Mission, will utilise 100% green hydrogen to produce steel, marking a significant step towards sustainable industrialisation.

The facility, estimated to cost ₹321 Crore, will employ direct reduced iron (DRI) vertical shaft technology. This process, developed for Indian-grade ore, will convert iron ore into sponge iron without the traditional use of fossil fuels, thereby eliminating CO₂ emissions. The Government of India is providing 50% capex incentives to support this initiative, demonstrating its commitment to promoting green energy solutions and reducing carbon emissions in the steel industry.

This project aligns with Matrix’s broader goal of establishing similar green steel plants across India, contributing to the nation’s transition to a sustainable future. This partnership also highlights Gensol’s expertise in renewable energy EPC and its role in driving innovation in the sector.

Role of Consortium Members

The consortium, consisting of Matrix Gas & Renewables Ltd., Gensol Engineering Ltd., the Indian Institute of Technology Bhubaneswar, and Metsol AB (Sweden), will collaborate on this pilot plant, which will have a capacity of 50 tons per day (TPD). Matrix will manage the entire project lifecycle, encompassing land acquisition, environmental assessments, and all key phases of design, engineering, procurement, and logistics. The project scope includes the manufacturing, supply, erection, inspection, installation, testing, and commissioning of the facility, as well as the development of necessary supporting infrastructure.

Commenting on this landmark development, Chirag Kotecha, Whole-time Director, of Matrix Gas and Renewables Ltd., said, “We are proud to lead such a transformative project in India’s steel industry. This facility not only demonstrates our commitment to green hydrogen and sustainable practices but also places us at the forefront of India’s clean energy transition. We look forward to contributing to the nation’s renewable energy goals and collaborating with the Government of India and key stakeholders to ensure the success of this initiative under the National Green Hydrogen Mission.” 

Gensol Engineering shares opened at ₹844.15 and reached the day high of ₹844.15, reflecting a gain of 1.98% from the previous close.

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