Breakthrough Pathways To Decarbonize The Steel Sector 1676093321
Breakthrough Pathways To Decarbonize The Steel Sector 1676093321
Breakthrough Pathways To Decarbonize The Steel Sector 1676093321
4 (December 2022)
1
GERALD WIMMER*1
BERNHARD VORABERGER*2
BENJAMIN KRADEL*3
ALEXANDER FLEISCHANDERL*4
Today, the iron and steel sector is the most significant industrial CO2 emitter, contributing
around 8% of global CO2 emissions. Fossil fuel-based BF (blast furnace) Ironmaking is the
primary source of these emissions. Besides the scrap-based EAF (Electric Arc Furnace),
hydrogen-based direct reduction shows immense potential to decarbonize the steel industry.
Primetals Technologies, as part of MHI Group, is well positioned to facilitate the transition toward
green steelmaking with its comprehensive portfolio of direct reduction and steelmaking
technologies.
This article presents an overview of different steel production routes and their related CO2
emissions based on the various iron sources, such as hot metal, DRI/HBI (Direct reduced iron/hot
briquetted iron), and scrap. The article discusses transition scenarios, including hybrid EAF-BOF
(Basic Oxygen Furnace) steelmaking and new green steel production routes using hydrogen-based
direct reduction followed by EAF steelmaking for high-grade DRI, as well as the recently
developed two-step process via a SMELTER and a BOF for low-grade DRI.
|1. Introduction
The iron and steel sector is the most significant global industrial carbon dioxide (CO2)
emitter, responsible for around 8% of global CO2 emissions. The global environmental impact of
the steel industry is mainly driven by the CO2 emissions generated during ironmaking via BF,
which is still the dominant production route, accounting for approximately 70% of global steel
production(1).
This coal-based reduction process in the BF and the following oxygen steelmaking process
leads to direct CO2 emissions of approximately 2 tons of CO2 per ton of steel, of which the hot
metal production contributes about 80%. Other charge materials like DRI produced with natural
gas emit less than half of these emissions. Hydrogen-based direct reduction is already getting close
to net-zero and steel scrap has zero CO2 emissions (Figure 1).
As a first step to reduce CO2 emissions, steel producers can look toward maximizing scrap
rates in existing plants and implementing new scrap-based EAF steelmaking, which has the lowest
CO2 emissions of all steelmaking routes. Depending on the electric power grid factor, green
electricity (<80grams CO2 / kWh), combined with highly efficient EAF technology such as
Primetals Technologies EAF Quantum, can reach average crude steel CO2 emission below 150
kilograms per ton. However, it is impossible to transform the entire steel industry to scrap-based
EAF since scrap availability and steel quality limit this production route. Hence the lion’s share of
steel in future will still require virgin material. However, in an intermediate step of the
transformation toward scrap and DRI-based steelmaking, hybrid EAF-BOF steelmaking is an ideal
option. For hybrid EAF-BOF steelmaking, the highly flexible EAF FUSION by Primetals
Figure 3 Hybrid EAF–BOF plants and possible routes for the transformation of BF
grade ore based integrated steelmaking
Figure 4 Typical iron and gangue content of seaborn iron ores in 2017 and preferred
process route
Lower-grade ore has typical gangue content of 12%, which is more than double the amount
of high-grade ores. Higher gangue content will result in higher flux consumption in the EAF to
achieve the targeted slag basicity and proper slag foaming. Stable EAF operation with foaming slag
requires slag basicity of approximately 1.8, which explains well the increased specific slag amount
of more than 400 kilograms per ton in an EAF with lower grade material. The higher slag amount
in combination with FeO contents above 20% leads to significant iron losses and, therefore, a low
yield. Another topic to be addressed is the utilization and recycling of a large amount of DRI-EAF
slag. The common practice is only some limited applications after mechanical separation and
internal recycling.
A practical solution can be the processing of low grade DRI via a two-step process with a
Smelter and a BOF. In this case, the Smelter performs the melting and final reduction, while a
separate second step performs all the metallurgical work and refining, typically in a BOF converter.
Splitting the process into two steps allows in the first process step an efficient separation of metal
and slag as well as generating a slag suitable for the cement industry. The Smelter can operate at
low slag basicity of around one, which leads to a lower slag amount and results in a slag very
Mitsubishi Heavy Industries Technical Review Vol. 59 No. 4 (December 2022)
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similar to granulated BF slag. The reducing atmosphere in such a closed stationary furnace will
facilitate a high reduction degree and lowest iron content in the slag, which supports a high yield.
Besides the advantages of the higher yield, lower slag amount, and the possibility of using
the slag in the cement industry, the existing BOF steel plant operation and downstream processes
can be kept intact. The lower costs of low-grade ores compensate for the higher operating cost of
the two-step process compared to a one-step process using an EAF(2). Figure 5 compares the
calculated total costs for both production routes for different ore grades on a European price base.
Figure 5 Total cost for EAF and Smelter+BOF production route in relation to the ore
quality (Fe content)
For both routes, the transformation cost—mainly electric energy, material additions, and
media consumption—increases with lower ore grades. On the other hand, the DRI cost decreases.
Figure 5 shows that processing DRI from low-grade ores is cheaper in a two-step process and
higher grades are better suited for direct EAF processing. The current market reflects this trend. All
DRI-EAF plants today use high-grade DRI and accept the demanded price for such a premium
charge material.
Direct reduction-based steelmaking will replace a significant share of current integrated
BF-based steelmaking to facilitate greener steelmaking in the future, as indicated in Figure 6 where
possible future share of steel production routes is shown. Both DRI-EAF steelmaking and a
two-step process via a Smelter are feasible for green steelmaking. For the integrated steel plants,
which want to keep their raw material base with lower grade ores, melting and final reduction in a
Smelter followed by final refining in the BOF presents itself as the preferred solution.
|5. Conclusion
Decarbonizing the steel industry will require introducing more scrap and direct
reduction-based steelmaking to enable the production of green steel and a greening of the
steelmaking process. The starting point will be the maximization of scrap rates in existing
integrated plants and transitioning to the innovative hybrid scrap-based EAF steelmaking process.
However, long-term hydrogen-based direct reduction in steelmaking seems to be the most
promising solution for integrated plants. Additionally, depending on the ore quality used, two
production routes can be applied. For high-grade DRI, EAF steelmaking is the most feasible
decarbonization solution. Whereas for low-grade DRI, a two-step process with a Smelter and
further processing in existing BOFs is the more economical solution.
Primetals Technologies has a comprehensive portfolio and extensive knowledge to support
the steel industry’s transformational journey. Here, the primary portfolio elements such as solutions
for an increased scrap rate in existing plants, the Midrex direct reduction plant in combination with
EAFs, and innovative solutions still under development and upscaling, such as the earmarking
HYFOR technology for direct reduction of ore fines with hydrogen or the SMELTER technology
for melting and final reduction of low-grade DRI will define the future of the steel industry.
References
1. IEA. Technology Report. October 2020. Available online:
https://www.iea.org/reports/iron-and-steel-technology-roadmap (accessed on 7 March 2022).
2. Wimmer, G.; Rosner J.; Fleischanderl A.; Apfel J.; et al. Smelter Technology for Transforming Integrated
Steelmaking towards Net-Zero Carbon; The Iron and Steel Institute of Japan (ISIJ), Bulletin Ferrum, Vol
27: 2021 .2, Tokyo, Japan
3. Voraberger B et al. “Green LD (BOF) Steelmaking—Reduced CO2 Emissions via Increased Scrap Rate.”
Metals 12, no. 3 (March 10, 2022): 466
4. Apfel, J. “The EAF for integrated plants.” In Proceedings of the AIST Conference, Nashville, TN, USA,
29 June 2021.