Outokumpu invests $45 million in chromium metal and enriched ferrochrome pilot plant in USA

With this technology, enriched ferrochrome is produced with a lower carbon footprint, can be utilised in melt shops and also sold externally at higher prices

Outokumpu is proceeding with the EVOLVE strategy to enhance the production of critical carbon-free materials, such as chromium metal and enriched ferrochrome. The company will invest around $45 million in a new pilot plant in New Hampshire, USA, planned to be operational in H1 2027. The pilot plant with its unique engineering will represent a significant step forward in Outokumpu’s strategy to scale up the proprietary technology announced at the company’s Capital Markets Day earlier this year.

In 2024, Outokumpu established a laboratory near Boston, USA. Over the past four years, the technology has been developed and tested, and the company has already successfully scaled production of key materials, such as enriched ferrochrome and chromium metal, from lab-scale (1g) to pre-pilot-scale (1 kg). The aim of the pilot phase is to demonstrate the scalability and industrial feasibility of the process by scaling up from 1kg to 1 ton of daily production. The two materials due to be produced in the pilot plant are enriched ferrochrome, containing 65% chrome and chromium metal, with more than 90% chrome content. Such an implementation of technology would advance Outokumpu’s ferrochrome business towards specialty metals.

Following the successful completion of the pilot phase, Outokumpu plans to construct the first industrial-scale plant, with an anticipated annual production capacity of approximately 10,000 tons. The target timeline for the industrial plant to be operational is 2029–2030, and Outokumpu expects to unlock the full commercial potential of the innovative proprietary technology from 2030 onwards.

With this technology, enriched ferrochrome is produced with a lower carbon footprint, can be utilised in melt shops and also sold externally at higher prices compared to the current offering. The process also enables new production pathways for high-purity metals, such as chromium metal, which is applicable for high-value markets such as aerospace, defense and energy sectors. Chromium metal is a very hard material with an exceptionally strong heat resistance, making it suitable for demanding industries and applications such as fighter jet engines.

“We are proud to go ahead, in line with our EVOLVE strategy, to produce low-CO₂ metals and move up the chromium value ladder. Backed by years of research, we are leveraging proprietary technology targeting premium-priced, high-purity metals essential for demanding sectors. With limited Western supply and growing demand, we see a significant market opportunity for sustainable, high-performance materials”, said Stefan Erdmann, chief technology officer of Outokumpu.