25 July 2023
Iqaluit, Nunavut (July 25, 2023) – Baffinland Iron Mines Corporation (“Baffinland“) and German steelmaker thyssenkrupp Steel Europe AG (“thyssenkrupp”) have entered into a Memorandum of Understanding (MoU) to accelerate the development of high-quality feedstock for green and low carbon steel production with the use of Nunavut high-grade iron ore.
Lower carbon and green steel forms the basis of the transition to clean value chains and is necessary for virtually every aspect of the global decarbonization drive. Having high-grade iron ore is important for producing green steel. Baffinland’s high grade, direct shipping ores have superior chemistry and first-rate metallurgical properties and are extracted and shipped without generating wet tailings.
As part of its tkH2Steel® project, thyssenkrupp’s coal-based blast furnaces will be replaced by hydrogen-based direct reduction modules. The iron produced by this equipment, directly reduced by hydrogen, will be liquefied in downstream, specially developed melting units to produce high quality hot metal, in what thyssenkrupp maintains is a pioneering process. All subsequent production steps can take place in the existing plant structure, including the steel mills, allowing all of the company’s products to be produced with low CO2 emissions whilst maintaining thyssenkrupp’s stringent quality standards. As a result, thyssenkrupp reiterates that tkH2Steel® is a highly efficient and commendable approach towards achieving environmentally friendly steel production.
“We are delighted to be cooperating with thyssenkrupp Steel as a long-standing customer of Baffinland in achieving environmentally compatible steel production,” said Brian Penney, Baffinland’s Chief Executive Officer. “Projects like tkH2Steel® and the high-grade iron ore are keys to global decarbonization of the steel industry. We applaud thyssenkrupp Steel leadership in this regard and look forward to actively contributing our expertise to advance the tkH2Steel®.”
Dr. Arnd Köfler, Chief Technology Officer of thyssenkrupp Steel, adds: “Our goal is to reduce the carbon footprint associated with the entire steel production process, both within and beyond our plant boundaries. To achieve this, we are establishing our own production facilities that employ direct reduction plants combined with innovative melters, resulting in significantly lower CO2 emissions. High-grade iron ore is an important raw material for thyssenkrupp Steel, both for use in the conventional blast furnace and, in perspective, in the direct reduction plant. We are particularly excited to work alongside Baffinland to explore the most effective utilization of high-quality iron ore in our production process.”