Germany-based steelmaker Salzgitter Group has announced that it will procure direct reduced (DR) pellets from Swiss-headquartered miner Ferrexpo, whose main interests are in Ukrainian iron ore assets, within the scope of the memorandum of understanding it has inked with the miner in order to produce low-carbon steel.
Accordingly, Salzgitter will use the miner’s high-quality DR pellets as part of its SALCOS® program due to be completed in 2033. Within the scope of the program in question, the German steelmaker has been converting its steelmaking process to hydrogen-based methods and technologies.
Also, both companies will not only work on determining the best raw material feed strategies for direct reduction plants but also on optimizing their green logistics chains, freight and inventory management.
Ferrexpo stated last week that using its high-grade premium DR pellets allows steel companies to cut their carbon emissions by 37 percent, as SteelOrbis reported previously.
