US-based mining company Cleveland-Cliffs Inc. has announced that the US Department of Energy will provide up to $575 million in total funding for its two decarbonization projects at Middletown Works in Ohio and Butler Works in Pennsylvania.
With up to $500 million funding to be awarded to the project at Middletown Works, the company will replace its existing blast furnace with a hydrogen-ready direct reduced iron (DRI) plant with an annual production capacity of 2.27 million mt and two 120 MW electric melting furnaces. The Middletown plant will maintain its existing annual raw steel production capacity of approximately 2.72 million mt and will no longer use coke for iron production, dramatically reducing carbon emissions intensity.
In addition, with up to $75 million funding for Butler Works, Cleveland-Cliffs will replace two of its existing natural-gas fired high-temperature slab reheat furnaces with four electrified induction slab reheat furnaces, to bring optimum efficiency to its production of electrical steels. The project will lower carbon emissions, reduce energy costs and improve slab quality.