BHP will develop ESF for green steel production; looking to change processing of iron ore in Western Australia.
Here’s an article posted in argusmedia that talks about replacement of coking coal with Hydrogen-powered furnaces in steelmaking.
According to the article,
- BHP is planning to develop an electric smelting furnace (ESF) that could use hydrogen to replace coking coal in steelmaking.
- The initiative is part of BHP’s efforts to transition to “green steel” and explore alternative, more sustainable methods of steel production.
- BHP will work with engineering firm Hatch to design and build a pilot plant for a hydrogen- and renewable energy-fueled ESF.
- The ESF, when combined with a direct reduced iron (DRI) plant, could process Pilbara iron ore to make steel.
Let us look at BHP’s long-term sustainability goals for its hydrogen project:
- Net Zero Emissions: BHP has established a 2050 target to reach net zero operational greenhouse gas (GHG) emissions (Scope 1 and 2). The hydrogen furnace initiative aligns with BHP’s larger effort to decarbonize its activities.
- Emissions Reduction Targets: BHP has established a near-term goal to decrease operational GHG emissions by a minimum of 30% from 2020 levels by 2030. The hydrogen furnace is anticipated to be crucial in aiding BHP in reaching this short-term emissions reduction aim.
- Decarbonizing Steelmaking: BHP aims to assist the steel industry in developing technologies and pathways for a 30% reduction in emissions intensity in integrated steelmaking, with anticipated widespread adoption after 2030. The hydrogen furnace is considered a crucial technology in decarbonizing the steel sector.
- Reducing Scope 3 Emissions: While BHP is striving for net zero value chain GHG emissions (Scope 3), the company is aware of the challenges in attaining this goal, especially for its steelmaking industry clients. The hydrogen furnace is anticipated to help decrease Scope 3 emissions.
- Collaboration and Partnerships: BHP is partnering with companies such as Hatch to advance and test hydrogen furnace technology, essential for speeding up the industry’s commercialization and implementation of this innovation.
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