Marcegaglia and Danieli have jointly announced the signing of an agreement for a strategic investment in a steel production and hot-rolled coil facility in Fos-sur-Mer, France. The contract is valued at approximately 450 million euros, including implementation and spare parts.

The project, named Mistral Project, with a total capex of around 1 billion euros, represents the largest investment in the history of the Marcegaglia group in terms of upstream integration, supply chain stabilization, value-added growth and decarbonization. It also confirms Danieli’s role as a technological partner for large-scale, sustainable steel production investments.

Once completed, the new facility will have an annual capacity of over 2 million tons of electric arc furnace steel and up to 3 million tons of hot-rolled coils, in both stainless and carbon steel. This will cover approximately 35% of the Marcegaglia group’s total demand for coils and slabs, with production primarily intended to supply its Italian plants across a wide range of applications.

The investment also reflects a strong commitment to decarbonization. The use of scrap, low-carbon DRI and a mix of nuclear and renewable energy sources is expected to reduce greenhouse gas emissions by up to 80% compared to traditional production methods.

The new Fos-sur-Mer site has been designed in compliance with the most stringent European environmental and safety standards, leveraging advanced automation, optimized resource use and high energy-efficiency technologies.

The final investment decision is expected by the end of 2026, subject to the completion of the permitting process and other conditions currently at an advanced stage of negotiation with the relevant French authorities.