Australia’s Fortescue has agreed to work with Taiyuan Iron and Steel Group (TISCO), a subsidiary of China Baowu, to test new low-carbon steelmaking technology aimed at accelerating decarbonisation in the steel sector.
Fortescue, the world’s fourth-largest iron ore exporter, signed the cooperation agreement with TISCO in late November for a trial of hydrogen-based, plasma-enhanced iron and steel metallurgical processes, the company said in a statement on its WeChat account.
The pilot aims to develop technology that removes several carbon-intensive pre-treatment steps in steelmaking, including iron ore sintering, pelletising and coking. The collaboration includes designing, constructing and operating an industrial trial line capable of producing 5,000 tonnes of hot metal.
“We are exploring the technology for green smelting using Fortescue’s Pilbara iron ore,” said Agustin Gus Pichot, Fortescue’s chief executive for growth and energy.
Decarbonising steelmaking is expected to increase demand for higher-grade iron ore, a challenge for Australian producers who predominantly supply low- to medium-grade material. Fortescue said it will provide funding for the project.
The agreement follows a separate partnership earlier this year between Fortescue and another China Baowu subsidiary on green iron technology.
