Brazilian miner Vale and authorities from Saudi Arabia, the United Arab Emirates and the Oman Sultanate have signed three agreements for the development of studies related to the construction of industrial Mega Hubs, to produce low carbon products to serve the steel industry.
The Mega Hubs will produce hot briquetted iron (HBI) and steel products that will serve the local and transoceanic markets, with significant reduction of CO2 emissions.
According to Vale, the HBI production from natural gas has CO2 emissions 60 percent lower, when compared to the conventional technological route of blast furnace and basic oxygen furnace.
The company added that this initiative is in line with its commitments to reduce by 15 percent its net emissions of Scope 3 until 2035, to reduce its total emissions of scopes 1 and 2 by 33 percent until 2030 and reaching zero emissions by 2050, in accordance with the Paris Agreement.