The Salzgitter Group aims to achieve practically zero carbon emissions by 2033

The German steel company Salzgitter Group and the Canadian mining corporation Baffinland Iron Mines will cooperate in the production of green steel. The parties signed the relevant memorandum of understanding. It is stated  in the report on the Salzgitter’s website.

The companies will explore using high-grade iron ore from Nunavut to produce low-carbon steel. Baffinland’s iron ore has first-class chemical and steel qualities, and the company crushes and sorts the raw material on-site, then ships it directly to markets, so there’s no need for beneficiation or processing, the release said.

“The Memorandum of Understanding with Baffinland Iron Mines Corporation is highly significant for us in many ways. It strengthens the partnership that we have maintained for many years and supports us on our journey toward low carbon steel production. The high-grade iron ore brings with it the prospect of also being deployed in our SALCOS,” commented Gerd Baresch, Head of Salzgitter Flachstahl Technical Division

Starting in 2025, the Salzgitter Group will gradually switch its production to the use of hydrogen as part of the SALCOS (Salzgitter Low CO2) program. The goal is to achieve practically zero carbon emissions by 2033. In the context of the agreement, Baffinland and Salzgitter Flachstahl will consider which supply strategies using the Canadian company’s iron ore will best suit the production of hydrogen-based steel. In addition, the parties will work together to optimize Scope 3 emissions in joint value chains.

As GMK Center reported earlier, the Italian CEIP Scarl (consortium of steel producers in electric arc furnaces) and the company DRI d’Italia signed a memorandum to promote the decarbonization of the country’s steel sector. The purpose of the agreement is to cooperate in the field of plant construction, marketing and sales of direct reduction iron (DRI).