Sweden-based H2 Green Steel has announced that it has signed an agreement with Brazilian iron ore producer Vale for the supply of direct reduction iron ore pellets.
The pellets will be delivered from Tubarão in Brazil to H2 Green Steel’s Boden plant in Sweden.
The process of direct reduction of iron ore using green hydrogen achieves a carbon reduction of up to 95 percent compared to the conventional steel-making process using coal and coke in a blast furnace.
“By working closely together with H2 Green Steel, we show once more our support to the decarbonization of the steel sector. We have committed to reducing our scope 3 net emissions by 15 percent up to 2035, which means an absolute emission reduction need of more than 80 million mt of carbon emissions,” Bruno Pina, global sales director at Vale, said.