UK-based miner Anglo American has announced that it has signed a memorandum of understanding with Germany-based steelmaker thyssenkrupp to collaborate on developing new pathways for the decarbonization of steelmaking.
The collaboration will focus on joint research to accelerate the development of high-quality feedstock for lower carbon steel production, using both conventional blast furnace and direct reduction iron (DRI) steelmaking.
As part of its tkH2Steel transformation concept, thyssenkrupp Steel has developed an innovative concept for decarbonizing steel production. The coal-based blast furnaces will be replaced by hydrogen-powered direct reduction equipment. In the new plant concept, the entire premium product portfolio can thus be produced with low carbon emissions without compromising on quality. The first direct reduction plant in Duisburg is scheduled to come on stream in 2026. The company plans to produce around five million mt of low-carbon steel by 2030.
Anglo American aims to reduce Scope 3 carbon emissions by 50 percent by 2040.