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The agreement between the two companies constitutes a joint venture to build a plant at the Luiz Carlos Solar Photovoltaic Complex. The generation of 578 GWh per year will supply the production of green steel for ArcelorMittal, which, under the agreement, will own 100% of the project in the operational phase. Renewable energy generator Atlas Renewable Energy and steel producer ArcelorMittal have signed contracts, in an unprecedented model, for the supply of renewable energy. The agreement includes the investment for the construction of a 315 MWp photovoltaic plant within the Luiz Carlos Photovoltaic Solar Complex, in Paracatu (MG), which will contribute to the supply of ArcelorMittals production units in the south and southeast of Brazil. The contracts will be signed through the creation of a joint venture between Atlas and ArcelorMittal that includes the construction of a significant part of the Luiz Carlos Photovoltaic Solar Complex. Once the plant is in commercial operation, ArcelorMittal will acquire all of Atlas shares, keeping 100% of the project. This model will allow ArcelorMittal to access a large-scale project in a highly irradiated area of ??the Southeast, with a contract for connection to the electrical system, enabling long-term renewable and competitive energy for the production of green steel. The installed capacity of the project, 315 MWp and a generation of 578 GWh per year, is equivalent to supplying energy to more than 300,000 Brazilian homes, avoiding the emission of more than 20,000 tons of CO2. “This contract reinforces Atlas’ position as a leading partner of the industry, now with the steel sector, in its energy transition and sustainability agenda. This contracting model demonstrates our ability to adapt to the needs of our customers, bringing innovations to the market, with concrete benefits in terms of cost reduction and energy transition of the industry. We are very pleased to join forces with ArcelorMittal, reinforcing our commitment to the expansion of renewable energies and contributing to the sustainable supply of production units in the country,” says Atlas’ general manager in Brazil, Fábio Bortoluzo. “Investments in renewable energy are in line with ArcelorMittal’s efforts to increase energy self-sufficiency and reinforce the strategic importance of Minas Gerais for the company’s activity, contributing to job creation and the economic development of the state. This initiative is unprecedented in the Brazilian operation, in a project of this magnitude and with a partner that is also a leader in its segment. It is yet another action aimed at neutralizing CO2 emissions in the steel industry and contributing to the goal of achieving carbon neutrality by 2050,” said Jefferson De Paula, President of ArcelorMittal Brazil and CEO of ArcelorMittal Long Carbon and Mining LATAM. Luiz Carlos Solar Complex The Luiz Carlos photovoltaic complex has a total of 787 MWp of installed capacity, of which 315 MWp are to be supplied by ArcelorMittal and the rest of the complex has a PPA signed with another major company in the construction sector. Atlas recently obtained financing for the Luiz Carlos photovoltaic complex. The company raised R$1.5 billion, of which R$750 million were in incentive-backed debentures (law 12,431/2011), which were certified as “Green Debentures” by Sustainable Fitch, and R$720 million in commercial notes, both operations coordinated and advised by Banco Itaú Itaú BBA in the project finance category. Construction of the complex began in 2024 and once again makes the companys social and environmental development programs a reality. This is the case of Somos Parte da Mesma Energia (We are part of the same energy), which has already trained more than 1,500 women around the projects built by Atlas in Brazil, Mexico and Chile to work on the construction of solar plants. In addition, the award-winning Ed-Mundo program is being developed, which trains young students from vulnerable communities in programming, computer science, robotics and entrepreneurship. The program allows students to become protagonists of social transformation, generating employment opportunities and other sources of income for their communities and families. The Paracatu region is also home to the Boa Sorte solar project, with an installed capacity of 438 MWp, which came into operation in 2024. These projects are part of the companys strategy to develop the region in environmental and social terms, with an emphasis on hiring local labor. The conclusion of the agreement still depends on the usual conditions for operations of this nature, including the approval of the Administrative Council for Economic Defense (CADE). |
