SHS successfully procures 60,000 tonnes of green hydrogen from VE Hydrogène 1 S.A.S. with Luther's assistance

This success marks another decisive milestone for SHS – Stahl-Holding-Saar GmbH & Co. KGaA's Power4Steel project, which is currently the largest decarbonisation project in Europe. The aim is to convert the iron and steel plants to green steel production and achieve CO2 neutrality by 2045 with the help of green hydrogen.

Luther has been providing comprehensive support to this mega-project with several teams since October 2022. The Luther team, led by Dr Stefan Mager and Dr Holger Stappert, advised ROGESA in the procurement process launched in March 2024 for the purchase of an initial 60,000 tonnes of green hydrogen. This is the largest tender for green hydrogen in Europe to date. The international bidding process involved a number of challenging energy law and procurement law issues at the interface with subsidy law, which Luther successfully resolved in cooperation with BET Consulting GmbH (energy industry consulting) and the French law firm FIDAL Avocats (French law).

The award secures the supply of green hydrogen to the future direct reduction plant (DRI) and is therefore a decisive step towards the production of green steel. With this step, SHS is sending a strong signal for the decarbonisation of the steel industry and is continuing to drive forward the strategic expansion of a regional, cross-border hydrogen economy. The Power4Steel decarbonisation project also differs in its complexity from all other large hydrogen projects in that it involves the establishment of a cross-border hydrogen network, the German-French hydrogen network mosaHYc, through which the electrolyser to be built by Verso Hydrogène in Carling, France, will supply hydrogen.

‘Without Luther's support, we would not have been able to complete this challenging tender process so successfully. Their legal expertise and strategic advice were indispensable in overcoming the complex legal challenges and achieving a decisive milestone for Power4Steel and the green transformation of our company,’ says Jonathan Weber, Chief Transformation Officer at SHS.

About SHS – Stahl-Holding-Saar GmbH & Co. KGaA:

SHS – Stahl-Holding-Saar GmbH & Co. KGaA is a management holding company for the steel industry in Saarland, which bundles significant shareholdings in the Saarland steel industry – Dillinger and Saarstahl AG. SHS is one of the largest employers in Saarland and has been established on the market for many years. SHS employs around 15,000 people. SHS is actively and responsibly shaping the future for the next generations: its defining vision is the production of ‘green’, climate-friendly steel.

For SHS – Stahl-Holding-Saar GmbH & Co. KGaA:

Luther, state aid law, subsidy law and public procurement law: Dr Stefan Mager (partner, lead), Dr Helmut Janssen, LL.M. (partner), Matthias Mehlwitz, LL.M. (counsel), Charlotte Jodocy (senior associate), Martin Lawall, LL.M. (senior associate)

Luther, Energy Law: Dr Holger Stappert (partner, lead), Yelena Bade (senior associate), Lilith Boos (associate), David Nückel (associate), Cosima Flock (counsel), Benedikt Rechner (counsel), Franz-Rudolf Groß, LL.M. (counsel), Tarik Bilici, LL.M. (Consultant)

Luther, Commercial: Dr Robert Burkert (Counsel)

Luther, Construction and Real Estate Law: Michael Kunkel, LL.M. (Partner), Dr Melanie Verstege (Counsel)

Luther, Corporate Law: Dr Michael Bormann (Partner), Marc Urlichs (Counsel)

Luther, Capital Markets, Banking & Finance: Christoph Schauenburg, LL.M. (Partner), Volkan Top (Senior Associate)

Luther, Insolvency Law: Oliver Köhler (Partner)

Luther, Public Law: Dr Stefan Altenschmidt, LL.M. (Partner)

Luther, Project Management: Frederike Peters (Senior Consultant), Melina Liedmeier (Executive Assistant)

FIDAL Avocats: Marjolaine Germain