<p>Australian iron ore giant BHP and South Korea’s steel maker POSCO has signed a Memorandum of Understanding to jointly explore greenhouse gas emissions reduction technologies in integrated steelmaking. As part of the MoU, the parties intend to undertake pilot and plant trials to lower carbon in the steelmaking process, including optimising coke quality and assessing carbon capture storage and utilisation options to lower carbon intensity in the blast furnace. POSCO and BHP also intend to share research on hydrogen-based direct reduction technology, the use of biomass in steelmaking, as well as the potential to leverage BHP’s carbon offsetting capabilities in the development of carbon neutral steel products.</p><p>BHP intends to invest up to USD 10 million over the next five years under the MoU, with the opportunity to increase investment in technologies under the trial. BHP’s investment will be drawn from its USD 400 million Climate Investment Program, announced in 2019 to support projects, partnerships, research and development to help reduce Scopes 1, 2 and 3 emissions.</p><p>Importantly, BHP and POSCO also intend to collaborate on the reporting of carbon emissions through the steel value chain to further progress consistent, transparent and robust global standards. </p><p>The MoU with POSCO follows BHP’s earlier partnerships established with major steelmakers China Baowu, JFE Steel and HBIS Group to explore emissions reduction from steelmaking. The combined output of the four steel companies equates to around 12 per cent of reported global steel production.</p>
<p>Australian iron ore giant BHP and South Korea’s steel maker POSCO has signed a Memorandum of Understanding to jointly explore greenhouse gas emissions reduction technologies in integrated steelmaking. As part of the MoU, the parties intend to undertake pilot and plant trials to lower carbon in the steelmaking process, including optimising coke quality and assessing carbon capture storage and utilisation options to lower carbon intensity in the blast furnace. POSCO and BHP also intend to share research on hydrogen-based direct reduction technology, the use of biomass in steelmaking, as well as the potential to leverage BHP’s carbon offsetting capabilities in the development of carbon neutral steel products.</p><p>BHP intends to invest up to USD 10 million over the next five years under the MoU, with the opportunity to increase investment in technologies under the trial. BHP’s investment will be drawn from its USD 400 million Climate Investment Program, announced in 2019 to support projects, partnerships, research and development to help reduce Scopes 1, 2 and 3 emissions.</p><p>Importantly, BHP and POSCO also intend to collaborate on the reporting of carbon emissions through the steel value chain to further progress consistent, transparent and robust global standards. </p><p>The MoU with POSCO follows BHP’s earlier partnerships established with major steelmakers China Baowu, JFE Steel and HBIS Group to explore emissions reduction from steelmaking. The combined output of the four steel companies equates to around 12 per cent of reported global steel production.</p>
