Skanska to design and manage the £1.25bn low carbon steelmaking scheme by Tata Steel in South Wales

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Skanska has been selected by Tata Steel to provide civil and structural design for its low carbon steelmaking scheme located in South Wales. The scope of work ranges from the building of foundation to the installation of structures. Also in the latest deal to Skanska for the new electric arc furnace (EAF) in South Wales is the design of infrastructure and drainage. In tune to all this, the world leading project development and construction company will help cement the steelmaking imprint in South Wales.

Project factsheet

Location: Port Talbot, South Wales

Client: Tata Steel

Type: Low carbon steelmaking scheme

Civil and Structural works: Sir Robert McAlpine

Design and Project management: Skanska’s Technology Business

Cost: £1.25bn

Projected annual steel production capacity: 3 million tonnes

Commissioning date: 2027

Image of one's of Tata's steelmaking plants. The new state-of-the-art electric arc furnace in Port Talbot will reduce initial carbon emissions by 90%
Image of one’s of Tata’s steelmaking plants. The new state-of-the-art electric arc furnace in Port Talbot will reduce initial carbon emissions by 90%

Tata’s new £1.25bn low carbon steelmaking scheme in Port Talbot

Tata’s new EAF facility in South Wales will take the place of the decommissioned iron and steelmaking facilities. Running at an initial cost of £1.25bn, the state-of-the-art facility is expected to produce up to 3 million tonnes of steel annually. After planned decommissioning in the last quarter of 2027, the low carbon steelmaking facility will reduce greenhouse gas emissions by around 90%. This, according to the project stakeholders, runs up to 5 million tonnes of carbon annually.

The appointment of Skanska to lead the design and manage the £1.25bn low carbon steelmaking scheme by Tata Steel in South Wales comes with a lot of optimism and assurance. This investment is the biggest in the UK steel industry so far according to Tata Steel UK’s head of project engineering, Dave Murray. Murray insisted on the criticality of the project with regard to time and money invested. He remarked of the selected contractor(s) as fit for the project and, “with a strong reputation for delivery”.

Skanska also revealed that the work behind-the-curtains for the complex project has been ongoing for the last four years. The low carbon steelmaking project by Tata Steel will create and safeguard jobs across the UK and attract more investors for new opportunities in the region. And as it is the way of the century, take care of the environment.

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