TAPOJARVI ITALY

The project covers the promoter's investment in an innovative slag processing and valorisation plant, as well as its initial testing and ramp-up phases with the aim to transform the slag into valuable by-products and to avoid landfilling. The slag originates from an existing stainless steel manufacturing plant. Investments will be carried out in Italy in the period 2019-22.

The aim of the project is to transform slags that have been previously landfilled into different valuable by-products.

The project supports the implementation of an innovative process for the treatment of stainless steel slags and will introduce on the market innovative circular products mainly for the construction industry. Hence, the project, located in a cohesion region, contributes to the bank's 'Innovation, Digital and Human capital' and cohesion policy objectives. The project also supports the shift towards a more circular economy and thus contributes to the bank's climate action and environmental sustainability objective.

The project generates a range of environmental, economic and social benefits. The project enables the manufacturing of sustainable circular products from slags previously landfilled and hence supports resource efficiency by replacing natural raw materials with recycled products. Furthermore, the project contributes to a significant drop in dust and noise emissions and water consumption. It also contributes to the re-skilling and up-skilling of the workforce by implementing innovative processes compliant to a large extent with industry 4.0 standards.

The EIB loan would provide Tapojarvi with long-term financing. In spite of the highly liquid market conditions, the contribution of the EIB would be an important element of the overall financing plan. The EIB loan would provide significant benefit to Tapojarvi in terms of maturity profile, flexibility of drawdowns, length of availability and grace period and subordinated position.

The slag processing and valorisation plant is implemented inside an existing stainless steel plant already authorised for this type of activities and running very similar activities for many years. The new plant was subject to an Autorizzazione Integrata Ambientale (Integrated Environmental Authorization (AIA), which the promoter received at the beginning of 2020. The aim of the project is to transform slags into different valuable by-products and hence reduce landfilling significantly and in addition will have a positive impact on dust emissions.

The promoter has been assessed by the EIB as being a private company not subject to EU rules on public procurement or concessions. However, if at the project appraisal, the EIB were to conclude that the Promoter is subject to EU public procurement legislation, then the EIB would duly inform the European Commission Services and would require the Promoter to apply those rules.