Brazilian iron ore producer Vale has announced that it has signed a memorandum of understanding with France-based direct reduced iron (DRI) producer GravithHy to build a plant at the latter’s site in Fos-sur-Mer, France, to produce direct reduction iron ore briquettes from Vale’s high-quality iron ore.
The plant with an investment of €2 billion is expected to have an annual production capacity of two million mt. The construction of the plant is expected to start in 2024 and production in 2027. The new plant will be designed to produce DRI using hydrogen as reductant fuel, thereby reducing carbon emissions.