Rio Tinto to Supply 70% Key Iron Ore for Groundbreaking EU Backed Low-Carbon Steel Project in Austria

CSR/ECO/ESG

Revolutionary Hydrogen-Powered Steelmaking Plant to Launch in 2027

Rio Tinto is set to supply 70% of the iron ore for an innovative hydrogen-based steel production facility in Linz, Austria, backed by a consortium of leading companies including Mitsubishi Corporation, voestalpine, Primetals Technologies, and Rio Tinto itself. This project, which will begin operations in mid-2027, aims to transform steel production by using hydrogen to reduce iron ore fines into hot metal and other products, eliminating the need for coal and significantly reducing CO2 emissions.

The plant will employ the HYFOR (Hydrogen-based Fine-Ore Reduction) system, a groundbreaking technology that does not require pelletisation, cutting energy consumption and costs. Once fully operational, it will use renewable electricity in the final reduction process, making it a potential game-changer for steel decarbonization.

“This project represents a significant advancement in future-proof ironmaking – for the first time, we will implement a continuous production process with hydrogen-based direct reduction,” said Alexander Fleischanderl, CTO and Head of Green Steel at Primetals Technologies.

Strategic Partnerships Driving Change

Rio Tinto’s contribution goes beyond just iron ore supply. The company will provide technical expertise from its global mining operations, including the Pilbara and Simandou iron ore regions. “This fines-based ironmaking solution presents a compelling alternative to shaft furnace technology by eliminating the need for pelletisation,” explained Thomas Apffel, GM of Steel Decarbonisation at Rio Tinto.

Mitsubishi Corporation joins the project as a strategic partner, aiming to accelerate the decarbonization of the steel industry. “HYFOR and Smelter are new promising technologies to accelerate the decarbonisation of the steel industry,” said Kenichiro Tauchi, COO of Mitsubishi Corporation’s Ferrous Raw Materials Division.

voestalpine, the host of the plant, is committed to its “greentec steel” plan to reduce emissions by 30% by 2029, equivalent to 5% of Austria’s annual CO2 output. “Together with Primetals Technologies and Rio Tinto, we are taking an entirely new and promising approach to research into hydrogen-based pig iron production,” stated Herbert Eibensteiner, CEO of voestalpine AG.

EU and Austrian Support

The project is part of Austria’s “Transformation of Industry” program and is backed by EU initiatives focused on clean steel and hydrogen solutions, reinforcing Europe’s commitment to reducing industrial CO2 emissions. This collaboration marks a significant milestone in the quest for net-zero steelmaking, with the potential to reshape global supply chains and reduce reliance on coal.

Looking Forward

With operations set to commence in 2027, this plant stands as a beacon of innovation for the steel industry. By integrating hydrogen-powered ironmaking on an industrial scale, it aims to offer a cleaner, more sustainable alternative to traditional methods and pave the way for future advancements in green steel production.


Source: Primetals Technologies, Mitsubishi Corporation, Rio Tinto, voestalpine, esg.com.

Rio Tinto hq Picture from FMT

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