BHP and HBIS Group have signed a new memorandum of understanding (MoU) to advance decarbonisation in the steel value chain, marking a major milestone in their partnership.
Building on collaborations that began in 2021, the renewed agreement will extend efforts to include steel end-users and promote life cycle carbon reduction across the industry.
The partnership has achieved significant progress since its first MoU, with key initiatives including conducting trials of enhanced lump use in blast furnaces and the development of a novel carbon capture pilot completed.
Additionally, proof-of-concept trials for direct reduced iron-electric arc furnace (DRI-EAF) steelmaking have been conducted at HBIS’ hydrogen metallurgy demonstration plant in Zhangxuan Tech, utilising BHP’s Pilbara iron ores.
The new MoU focuses on scaling these advancements further as it will explore larger-scale blast furnace abatements, optimise the use of Pilbara iron ores in commercial DRI-EAF production, and implement life cycle assessment projects to monitor greenhouse gas reductions.
The agreement also includes initiatives to share technical expertise and foster industry knowledge, aligning with BHP’s broader climate goals.
“As steel remains a cornerstone of global development, this partnership underscores the critical role of collaboration and collaborative demonstration in accelerating the transition to a lower carbon emissions steel industry,” BHP said.
The efforts align with BHP’s 2024 climate transition action plan and its Scope 3 goals associated with steelmaking.
Steel remains an essential material for global development, but its production accounts for significant greenhouse gas emissions.
The collaboration between BHP and HBIS highlights the importance of joint innovation in addressing this challenge.