BHP has signed an agreement with China’s HBIS Group Co for piloting of carbon capture and utilisation technology.
HBIS Group Co is one of the world’s largest steelmakers and a major iron ore customer of BHP.
The new project will see both companies trial pilot-scale demonstrations of carbon capture and utilisation technologies at HBIS’ steel operations in China. These trials will develop and test technologies that would be integrated into steel production processes to reduce carbon emissions.
BHP chief executive officer Mike Henry believes the collaboration between BHP and HBIS will act as a strong example for the industry to follow towards the wider deployment of carbon capture, utilisation and storage (CCUS).
“This joint program demonstrates a strengthening of our partnership, as we progress ambitions established in our 2021 MoU (for strategic collaboration in climate change) and shows a willingness of the parties to advance innovative technologies that are fit for purpose for steel,” Henry said in an announcement.
This new agreement expands on the work streams envisaged in the MoU signed by BHP and HBIS, and into the investment of up to $US15 million over three years proposed by the MoU.
HBIS chairman Yu Yong said the projects are another milestone since the 2021 MoU.
“(The agreement) starts a new journey in jointly exploring CCUS technology developments in the steel sector,” Yong said.
“CCUS has been identified as a breakthrough technology for reducing carbon emissions from steel and this has anchored CCUS technology as a key component in HBIS Group’s low-carbon technology roadmap.
“In the future, HBIS will continue to focus on the goal of jointly addressing climate change, deepening cooperation with industry value chain partners, adhering to the concept of sustainable development, and consistently cultivating and investing in the green and low-carbon field.”