Ovako continues to invest in the Smedjebacken Steel Mill

Ovako is set to further its commitment to innovation and efficiency with a new investment of € 9 million (approximately 100 million SEK) in the Smedjebacken steel mill.

Following previous significant investments, including a new exhaust gas filter, continuous casting machine, and a vacuum tank degassing (VTD) system, this new funding will ensure continued production efficiency and modernization.

The investment includes the replacement of the 50-year-old phase compensation system with an SVC Light^® cutting-edge STATCOM system from Hitachi Energy. The upgrade will ensure compliance with current industry standards for power quality and flicker levels. It is expected to deliver significant savings in energy and electrode consumption while also enhancing the productivity of the electric arc furnace.

“This investment underscores our commitment to maintaining the highest standards of efficiency and sustainability in our operations. The new STATCOM system will not only meet today's stringent requirements but also enhance our productivity and reduce energy consumption,” says Nicholas Källsäter, President Business Unit SmeBox. 

The investment includes the replacement of the 50-year-old phase compensation system with an SVC Light^® cutting-edge STATCOM system from Hitachi Energy. The upgrade will ensure compliance with current industry standards for power quality and flicker levels. It is expected to deliver significant savings in energy and electrode consumption while also enhancing the productivity of the electric arc furnace.

“This investment underscores our commitment to maintaining the highest standards of efficiency and sustainability in our operations. The new STATCOM system will not only meet today's stringent requirements but also enhance our productivity and reduce energy consumption,” says Nicholas Källsäter, President Business Unit SmeBox. 

"We are pleased and proud to be trusted again by Ovako to deliver our proven advanced SVC Light^® STATCOM technology that will contribute to and ensure increased stability and reliability in the steel mill production at Smedjebacken, says Anna Svensson, Head of Power Quality Solutions at Hitachi Energy. “Our pioneering technology and expertise are helping customers and partners to overcome the challenges in power quality management, strengthening the grid and improving voltage support."

"This is a significant step towards realizing our vision of creating steel for a decarbonized society. By modernizing the Smedjebacken steel mill with advanced technologies like the SVC Light system, we are not only enhancing our production efficiency but also reinforcing our commitment to sustainability and energy efficiency. This investment sets a robust platform for future advancements and positions us at the forefront of the steel industry's environmental responsibility, “says Marcus Hedblom, President and CEO Ovako Group. 

This state-of-the-art facility is scheduled to be operational after the summer in 2026, marking another milestone in Ovako’s journey towards sustainable and efficient steel production. 

At Ovako, we specialize in clean, high quality engineering steel tailored to the needs of customers in the bearing, transport, and manufacturing sectors. Our high-quality steel, based on 97% recycled steel, not only ensures lightweight and resilient products but also enables more sustainable and environmentally friendly solutions. With 2900 dedicated employees and a global presence spanning over 30 countries, along with approximately EUR 1.1 billion in sales, Ovako, a subsidiary of Sanyo Special Steel and a proud member of Nippon Steel Corporation, stands at the forefront of the steel industry. Our purpose is clear: Together we create steel for a decarbonized society. Discover more about our innovative solutions at www.ovako.com, www.sanyo-steel.co.jp, and www.nipponsteel.com