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Sidenor has initiated testing of green hydrogen in its steel production process at the Basauri plant under the IS2H4C project. The company replaced a conventional gas burner with a hydrogen burner during ladle heating, achieving similar temperatures to the traditional method, indicating hydrogen's viability.

However, Sidenor has not announced plans for a full-scale implementation. The company operates two main steelworks in Spain, located in Basauri and Azkoitia, along with downstream operations in Reinosa. Analysts caution that large-scale green steel production may take over a decade without significantly cheaper hydrogen, with a report from IDTechEx stating that low-carbon hydrogen needs to be priced at $2-3/kg to be economically viable, compared to the current $4-8/kg for green hydrogen.