Rio Tinto, BHP Partner With BlueScope On Steel Decarbonization

(RTTNews) - Rio Tinto, BHP and BlueScope have partnered in their efforts to accelerate the decarbonization of steelmaking by agreeing to jointly investigate the development of the country's first ironmaking electric smelting furnace or ESF pilot plant, the companies said in a statement.

The Australia's two largest iron ore producers and its biggest steelmaker will consolidate the work each party has completed to date, leveraging both BHP's and Rio Tinto's deep knowledge of Pilbara iron ores with BlueScope's unique operating experience in ESF technology.

According to the companies, the collaboration provides a platform to develop and potentially invest in a pilot facility and aims to demonstrate that production of molten iron from Pilbara ores is feasible using renewable power when combined with Direct Reduced Iron (DRI) process technology. If successful, it could help open a potential pathway to near-zero greenhouse gas emission-intensity operations for steelmakers that rely on Australian iron ore to meet global steel demand.

The companies said they will assess several locations in Australia for the proposed pilot facility, and will consider factors like supporting infrastructure, available workforce, access to target industry and supply chain partners, and suitability for operational trials. The pre-feasibility study work program is expected to conclude at year-end. If approved, the pilot facility could be commissioned as early as 2027.