Jacobs extends contract to manage thyssenkrupp Steel's Duisburg hydrogen direct reduction plant, targeting 2.5M metric tons of green iron annually.
Jacobs has secured a contract extension to continue overseeing construction of thyssenkrupp Steel's hydrogen-capable direct reduction plant in Duisburg, Germany, deepening an engagement that began more than two years ago and stretching through the facility's anticipated first iron production.
The working relationship between Jacobs and thyssenkrupp Steel dates to August 2023, when Jacobs was first awarded the program and construction management contract for the Duisburg plant. The extension, reflecting what both parties describe as a productive collaboration, keeps Jacobs in place to deliver project management office, construction management, and assembly management services as the facility moves closer to becoming operational.
thyssenkrupp Steel Executive Director Construction DR Plant Ulrich Greiner Pachter pointed to the quality of that relationship as the driving factor behind the decision to extend. "The contract extension is the result of the constructive and reliable collaboration we have established with Jacobs since the start of the project," Pachter said.
"Jacobs has been a valuable partner in coordinating the many interfaces of this complex transformation project." Jacobs Executive Vice President Fiachra Ó Cléirigh framed the extension as a sign of the confidence thyssenkrupp has placed in the project team.
"This contract amendment and extension reflects the trust thyssenkrupp has in our team to bring this complex, first-of-its-kind hydrogen-based iron making facility online," Ó Cléirigh said. "We're focused on delivering this project to support the shift toward climate-neutral steelmaking and deliver on our promise of a more connected, sustainable world."
When complete, the Duisburg plant is designed to produce approximately 2.5 million metric tons of direct reduced iron per year. The facility will replace coal-powered blast furnaces with a hydrogen-based ironmaking process, using a reducing gas in place of coke derived from coal to convert iron ore into iron. By engineering the plant to run on hydrogen, thyssenkrupp is positioning it to operate without the carbon emissions associated with conventional blast furnace steelmaking. At that production volume, the facility represents a substantial step in decarbonizing one of the most carbon-intensive industrial sectors globally.
Steel manufacturing is recognized as a major source of industrial carbon emissions worldwide, and hydrogen-based direct reduction has become one of the primary technological approaches European producers are pursuing to reduce that footprint.
Jacobs carries a broad operational mandate across the construction site. The company supervises civil works, manages logistics, and oversees quality assurance activities. It also works closely with thyssenkrupp to support health, safety, and environmental performance on site, and manages assembly logistics as well as the flow of materials between the multiple contractors engaged on the project.
The scope reflects the coordination challenge inherent in a transformation project of this scale, where numerous contractors and interfaces must be managed simultaneously. Under the extended agreement, Jacobs continues to coordinate design, logistics, and construction activities across the site as those workstreams progress toward completion.
The thyssenkrupp Steel contract is one of several major engagements Jacobs holds in Germany. The company has a seven-year multidisciplinary framework agreement with TransnetBW, a transmission system operator, to support Germany's grid expansion program.
Jacobs is also involved in the delivery of SuedLink, described as one of the world's longest underground high-voltage power cables. Across those programs, Jacobs employs more than 300 people in three offices in Germany.
The company describes its German portfolio as spanning the country's energy transition, industrial decarbonization, and critical infrastructure priorities, including the transmission buildout needed to absorb large volumes of renewable power and the transformation of heavy industry away from fossil fuel dependency.
Jacobs is a Dallas-based professional services firm listed on the New York Stock Exchange under the ticker J. The company reported approximately $12 billion in annual revenue and employs around 47,000 people globally. Its services cover advisory and consulting, feasibility studies, planning, design, program management, and lifecycle management across sectors including advanced manufacturing, energy, environmental services, life sciences, transportation, and water infrastructure.
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