Coaltrans Asia 2021Cleveland Cascades LtdTelestackCimbriaViganThe Wolfson Centre for Bulk Solids Handling Technology
  • Port of South Louisiana
  • Bühler GmbH
  • Cimbria
  • TMS Awards 2021
  • Coaltrans Asia 2021
  • Port of Stockton

Low-carbon iron MoU signed

Low-carbon iron MoU signed

(Posted on 17/02/21)

Rio Tinto, Paul Wurth S.A. and SHS-Stahl-Holding-Saar GmbH & Co. KGaA (SHS) have signed a Memorandum of Understanding to explore the production of a low-carbon steel feedstock. This partnership brings together a leading global miner, an international leader in the design and supply of engineering solutions for integrated steelmakers and one of Europe’s best-known steelmakers.

The partnership will explore the viability of transforming iron ore pellets into low-carbon hot briquetted iron (HBI), a low-carbon steel feedstock, using green hydrogen generated from hydro-electricity in Canada.

Iron Ore Company of Canada (IOC), in which Rio Tinto holds a majority interest, will supply high-grade iron ores and expertise in mining, processing and pelletising. Paul Wurth brings expertise in plant building and process knowledge in the field of highly efficient hydrogen generation and Midrex® direct reduction plants. SHS brings deep iron and steel making expertise.

Rio Tinto’s significant presence in the Canadian provinces of Quebec and Newfoundland and Labrador makes Canada a natural location for the project. Canada provides access to cost competitive hydro-electricity, and proximity to key markets in Europe and North America. Transforming high-grade iron ore pellets into a low-carbon steel feedstock using green hydrogen, when processed in an electric arc furnace with carbon free electricity, has the potential to reduce significantly the carbon emissions associated with steelmaking.

The parties will conduct a feasibility study into the potential development of industrial scale low-carbon iron production in Canada, utilising the combined expertise of the three partners across the entire steel value chain. The feasibility study is scheduled for completion in late 2021, with an investment decision on a hydrogen based direct reduction plant at industrial scale expected to follow thereafter.

IOC president and chief executive officer Clayton Walker said: “This partnership is part of Rio Tinto’s climate strategy to pursue pro-active and action-oriented partnerships to support the development and deployment of low-carbon technologies for hard-to-abate processes like steelmaking.

“We are absolutely committed to being part of the solution on climate change and to support our customers and other stakeholders in the steel value chain as the industry transitions to a low-carbon future.”

Georges Rassel, CEO of Paul Wurth S.A, said: “This collaboration reflects Paul Wurth’s strategy to support our customers from the very beginning of their projects as a reliable and trusted partner. By associating the different players of the metal production chain, we are confident to develop the most appropriate and efficient solutions for this challenging transition towards a carbon neutral industry.”

Martin Baues, Member of the Board of Directors for Technology at SHS-Stahl-Holding Saar said: “Dillinger and Saarstahl adopted a future-focused strategy with the motto ‘proactive, carbon-free and efficient’. Within this strategy, we have defined various options for the transformation to carbon-neutral steel production. The use of hydrogen in steel production is a key factor in reducing carbon emissions. This partnership can further help us to reduce our carbon emissions on the basis of this technology, while gaining important experience in using hydrogen in steel production.”

Latest News

thyssenkrupp sells mining business to FLSmidth

(Posted on 29/07/21)

thyssenkrupp has announced the sale of its Mining Technologies business unit to the Danish company FLSmidth... Read more


Rio Tinto progresses studies for underground mining at Kennecott

(Posted on 26/07/21)

Rio Tinto has approved a $108 million investment in underground development to enable early orebody... Read more


En+ Group sustainability report sets new targets

(Posted on 20/07/21)

En+ Group, the world’s largest producer of low carbon aluminium, has published its 2020 Sustainability... Read more


Rusal to supply Rheinfelden with low carbon aluminium

(Posted on 15/07/21)

Rusal, a leading global aluminium producer, has announced that it will supply its plant Aluminium Rheinfelden... Read more


Largest Korean steel producer and Rio Tinto sign climate MOU

(Posted on 11/07/21)

Rio Tinto and POSCO, the largest steel producer in South Korea and one of the world’s leading... Read more


BHP announces divestment of Cerrejón interest

(Posted on 05/07/21)

BHP has announced that it has signed a Sale and Purchase Agreement with Glencore to divest its 33.3... Read more


Galena fund: first for commodities industry

(Posted on 01/07/21)

Galena Asset Management, a wholly-owned investment subsidiary of Trafigura, one of the world’s... Read more


Force majeure declared at Richards Bay Minerals

(Posted on 01/07/21)

Rio Tinto has declared force majeure on customer contracts at Richards Bay Minerals (RBM) in South Africa... Read more


Rio Tinto to drive decarbonisation with Schneider

(Posted on 28/06/21)

Rio Tinto, a leading global mining and metals company, and Schneider Electric, the leader in digital... Read more


Rio Tinto deploys first fully autonomous water trucks

(Posted on 22/06/21)

Rio Tinto will deploy the world’s first fully autonomous water trucks at its $2.6 billion Gudai... Read more


TBA GroupBühler GmbHTMS Awards 2021Port of StocktonTOC EventsSailors Society
  • The Wolfson Centre for Bulk Solids Handling Technology
  • Cleveland Cascades Ltd
  • Telestack

Subscribe to our newsletter

Keep up to date with the latest global news in bulk cargo handling and shipping