Green steel: Sidersa injects $200 million as plant reaches 15% completion

Sidersa will inject around $200 million starting in March to advance its expansion project, according to Shale24 sources. The investment will support the Sidersa+ initiative, a flagship project for green steel production in San Nicolás, Buenos Aires province.

The planned $200 million investment will fund a new steel plant, marking the first major steel construction in Argentina in more than half a century. The project benefits from the Regime of Incentives for Large Investments (RIGI).

Under the regime, Sidersa is eligible for up to 30 years of tax exemptions, regulatory stability, free access to foreign currency, and import facilitation for capital goods. These incentives are designed to accelerate project execution and mitigate risks amid a challenging economic environment.

As of January 2026, the project is 15% complete, with site preparation finished and industrial facilities installation underway. The plant is expected to begin operations in 2028, producing 360,000 tons of steel annually, primarily for the domestic market but with potential exports to regions such as the European Union, thanks to its low carbon footprint.

Key technical aspects of green steel production:

• Preheated scrap as primary feedstock: Replaces traditional iron ore, reducing reliance on extracted resources and minimizing environmental impact.
• Continuous charging process: Ensures uninterrupted material feeding, improving energy efficiency and shortening production cycles.
• Latin America’s first integrated energy management system: Uses advanced technologies to recycle heat and gases, boosting operational efficiency.
• Direct integration of the rolling mill with the steelworks: Eliminates intermediate steps, reducing costs and emissions by linking casting directly with steel forming.
• Reduced emissions: Produces just 0.38 tons of CO₂ per ton of steel, compared with the global average of 1.79 tons, meeting international decarbonization standards.

This efficiency also helps mitigate the impact of the EU’s Carbon Border Adjustment Mechanism (CBAM), facilitating potential exports by avoiding additional tariffs.

From an economic standpoint, this capital increase allows Sidersa to optimize its balance sheet without resorting to immediate external debt. The move strengthens the company’s equity position. Sidersa is 100% Argentine-owned and a family-run business with more than 70 years of history, originally founded by José Spoto and currently led by his grandson, Hernán Spoto, as CEO.

According to publicly available information, Sidersa S.A.’s shareholding structure is majority-controlled by the family: Jesús Alberto Spoto (founder’s son and company president) holds 52.5%, Alicia Beatriz Coletto (Jesús Spoto’s wife) 25%, Ricardo Enzo Settimini (first vice president) 12.5%, and Oscar Eduardo Coletto (second vice president and Alicia’s brother) 10%.

The company is managed by the third generation of the family. The project is expected to create more than 300 direct jobs and 3,500 indirect jobs once the plant becomes operational.