U.S. sustainable iron startup Electra has announced a series of major partnerships to accelerate the commercialisation of low-carbon iron, signing advance purchase agreements with Nucor, Toyota Tsusho, and Meta, as it prepares to build a demonstration facility in Jefferson County, Colorado.
The new 130,000-square-foot plant — backed by a US$50 million grant from Breakthrough Energy Ventures, founded by Bill Gates — will produce up to 500 tonnes of low-carbon iron annually using Electra’s proprietary low-temperature electrochemical process. The facility is scheduled to become operational in mid-2026, with its output destined for steel sheet mills, automotive manufacturing, and specialty steel applications.
In a first for the company, Meta will purchase Electra’s environmental attribute credits linked to reduced emissions from the new facility. The deal also gives Meta the option to acquire future credits from Electra’s upcoming commercial-scale plants, supporting the tech firm’s goal of achieving net-zero emissions across its value chain by 2030.
“Steel production is one of the largest industrial sources of greenhouse gas emissions,” said Marlo Fernandez, Head of Breakthrough Energy Catalyst. “Electra is reimagining ironmaking, creating a scalable, cost-effective pathway to low-carbon steel.”
Founded in 2020, Electra’s process dissolves iron ore in an acidic solution before electrifying it at low temperatures — a technique compatible with renewable energy sources such as wind and solar, and adaptable to electric arc furnace steelmaking.
The demonstration project is also supported by an US$8 million Colorado industrial tax credit and a US$186 million funding round led by Capricorn Investment Group and Temasek.
Nucor, the largest steel producer in the United States, plans to use Electra’s iron in its sheet mills. “This project lays the groundwork for a new era of low-carbon materials,” said Al Behr, Nucor’s Executive Vice President for Raw Materials. Toyota Tsusho America and Interfer Edelstahl Group, both participants in the April funding round, will distribute the iron for use in auto manufacturing and specialty steel sectors.
“With binding commitments and strategic partnerships, we’re proving that pure iron can be produced responsibly and scaled rapidly to meet global demand,” said Sandeep Nijhawan, Electra’s CEO and Co-founder.
