Vale produced commercial volumes of pellets without the use of coal for the first time

Brazil’s largest mining company Vale has produced a large batch of iron ore pellets without using coal, which is a major step towards reducing carbon emissions. Reuters informs about it.

To produce pellets, coal is usually mixed with iron ore before heating in furnaces. In a Vale’s pilot project, conducted in February 2023 at a plant in the state of Minas Gerais, the company replaced traditional coal with biochar derived from biomass.

During the first pilot project, 15,000 tons of carbon-free pellets were produced from 100% certified biocarbon. This product is a renewable energy source obtained by carbonization of biomass.

“Pellet production is the most carbon-intensive process contributing to Vale’s direct emissions, with anthracite coal accounting for about half of its greenhouse gas emissions from making pellets. In general, the production of these products accounts for 30% of the company’s direct emissions,” said Rodrigo Araujo, head of Vale’s decarbonisation projects.

This year, Vale will conduct further trials to completely replace coal with environmentally friendly raw materials for pellet production by 2030.

“It was very important to confirm what we saw in the laboratory, which had no impact on the quality of the pellet, the first barrier we wanted to overcome, and also the entire test in relation to logistics, process, storage, material management and related risks,” added Rodrigo Araujo.

As GMK Center reported earlier, in the coming years Vale plans to increase the volume of production of high-quality pellets despite tough market conditions. Pellet production should reach 50-55 million tons in 2026 compared to 32 million tons in 2022. After 2030, it will increase to approximately 100 million tons.

Vale is one of the three largest mining companies in the world. The company intends to achieve carbon neutrality by 2050. To do this, Vale announced about start of production of new products with a low level of CO2 emissions by 2023  – Green briquettes.

  • Companies

Zaporizhstal reduced steel output by 7.7% y/y in 1H2026

The Zaporizhstal Metallurgical Plant reduced its steel production by 7.7 per cent year-on-year in January–June…

Thursday July 2, 2026
  • Global Market

Hoa Phat has cut its prices for hot-rolled steel for August sales

Vietnamese steel producer Hoa Phat has announced a sharp reduction in prices for hot-rolled coils…

Thursday July 2, 2026
  • State

Ukraine is set to update the rules governing the construction products market in line with EU standards

The Ministry of Community and Territorial Development, in collaboration with experts from BRDO, has developed…

Thursday July 2, 2026
  • Global Market

Turkey’s steel exports fell by 2.9% y/y over a five-month period

In May, Turkish steel exports fell by 0.2% year-on-year to 1.36 million tonnes, whilst their…

Thursday July 2, 2026
  • Global Market

China plans to block some of Fortescue’s iron ore supplies

The Chinese state-owned buyer — China Mineral Resources Group (CMRG) — has informed steelmakers and…

Thursday July 2, 2026
  • Global Market

Inflation in the eurozone slowed to 2.8% in June

Annual inflation in the eurozone slowed to 2.8% in June 2026, down from 3.2% in…

Thursday July 2, 2026