Australian mining company BHP Billiton has announced that it has signed a memorandum of understanding (MoU) with China-based HBIS Company Limited, listed subsidiary of major Chinese steelmaker Hebei Iron and Steel Group and a major customer of BHP’s iron ore, to invest $15 million over three years to jointly study and explore greenhouse gas emissions reduction technologies and pathways.
Accordingly, the companies intend to collaborate on three priority areas: hydrogen-based direct reduction technology, the recycling and reuse of steelmaking waste, and the role of iron ore lump utilization to help reduce emissions from steelmaking. The partnership aims to help both companies progress toward their climate change goals, and support the steel industry’s role in helping to achieve China’s ambitions to be carbon neutral by 2060.
The investment will be funded under BHP’s $400 million Climate Investment Program.
BHP has also partnered with Chinese steelmaker China Baowu and Japanese steelmaker JFE Steel to explore emissions reduction from steelmaking, as SteelOrbis previously reported.