Steel is one of the heavy industries which are considered as significant polluters. The initiatives to decarbonise steel increased with both mining and hot metal producers have signed various deals recently.
When it comes to direct emission, mining companies have a minimal share in emission than their customers- steel producers. Indirect emission, especially those caused by the company’s customers, is known as scope 3 emission.
Companies like Vale, BHP and Rio Tinto have huge emission responsibility when it comes to scope 3. Mining companies are now finding ways to reduce their scope 3 emissions and trying to work closely with steel producers. Both BHP and Rio have announced a partnership with China’s Baowu on projects to reduce emission. Posco is also at the forefronts of trying to reduce emission and joined hands with Fortescue.
BHP is one the mining company that made seed investments in numerous start-ups that focused on decarbonisation, including Boston Metal, a technology company that operates from a 10k sq foot facility in Massachusetts, US. The company raised US$ 50 million in Series B funding, where the existing investors include Bill Gates-financed Breakthrough Energy Ventures. BHP has not disclosed the amount but it can be near to $US 10 million.
Boston Metal is commercialising its patented molten oxide electrolysis (MOE) production platform, which aims to produce efficient, costs effective and greener steel. It has made emission-free steel alloys, and the pilot project results show that low emissions steel production is possible.
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