Multinationals Shell and Gerdau Announce Agreement for the Construction of a Solar Park in Minas Gerais in 2023. Part of the Energy Produced Will Be Used for Steel Production

The Solar Park Built Through the Joint Venture Between Shell and Gerdau Will Have a Capacity of Approximately 260 MWp

Shell and Gerdau formed a joint venture in which both companies have equal participation, to build a solar park in Minas Gerais in 2023. Approval from Brazilian authorities is still required. The solar park created by Shell and Gerdau is expected to have a capacity of around 260 MWp, and approximately half of the energy produced in the solar park will be allocated to Gerdau’s steel production. The other half will be traded in the free market through Shell’s trading company.

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According to Broadcast, the partnership between Shell and Gerdau will enable the development of about one-third of the total capacity of the solar park. Shell will be looking for long-term customers such as self-producers.

The Director of Renewables and Energy Solutions at Shell Brasil, Guilherme Perdigão, states that by creating the solar park, the company is taking an important step in building a robust portfolio in renewable energies in Brazil, reinforcing Shell’s business diversification, with the aim of providing more energy in an increasingly cleaner way.

Last year, Shell made a commitment to eliminate net carbon emissions by 2050, with the company’s goal of reducing absolute emissions by half by 2030, compared to the year 2016.

Gerdau also commits to reducing greenhouse gas emissions to 0.83 tons of carbon dioxide per ton of steel produced, half of the average value for steel industries, which is 1.89 tons of carbon dioxide per ton of steel.

Meet Gerdau and Shell

Shell has been in Brazil since 1913 with the goal of meeting the energy demands of its customers, operating responsibly for the economy, society, and the environment. The company has 900 employees in Brazil, with its headquarters located in Downtown Rio de Janeiro and has a manufacturing unit on Governador Island.

Gerdau is the largest steel producer in the country and also one of the main suppliers of long steel in the Americas and special steels worldwide. In Brazil, Gerdau also produces flat steels and iron ore, activities that expand the product mix offered to the market and also the competitiveness of operations.

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