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Cook Government welcomes joint steel decarbonisation project

  • WA Government supports new project to help decarbonise steel-making supply chain
  • Western Australia uniquely placed to support tripartite initiative
  • Project is another example of global leadership by WA’s advanced iron ore industry

The Cook Government welcomes the announcement today that Western Australian iron ore from the Pilbara will underpin investigations into the development of Australia’s first ironmaking Electric Smelting Furnace (ESF) pilot plant.

WA’s leading iron ore producers Rio Tinto and BHP will partner with BlueScope on steel decarbonisation, with pilot plant trials potentially commissioned as early as 2027.

The announcement of this partnership to develop a new low-carbon steel smelting technology will allow the wider use of Western Australian ores in future green steelmaking plants.

The technology is designed specifically to use Pilbara iron ore as a feedstock, potentially providing a unique selling point for WA’s iron ore products in future.

Use of an electric smelter is enhanced using processed ores including pellets, beneficiated concentrates, and direct reduced iron.

Further opportunities to reduce emissions across the steel-making supply chain are applicable if plants can be located near renewable energy precincts.

Several precincts are currently being developed across regional WA where co-location of an electric steel furnace pilot plant would be possible.

Today’s announcement complements the Minerals Research Institute of Western Australia’s ‘Green Steel Opportunity Report’ released in 2023, which outlines the Western Australian scenarios for the supply of low emission options for the production of low emission steel. The report can be accessed here:

A key recommendation of the study was to conduct a prefeasibility study for a low emissions iron plant to test the suitability of making iron for use in electric furnaces, including the development of an electric iron smelter, using WA iron ore.

As stated by Premier Roger Cook:

“Western Australia is in the box seat in the global energy transition, and my Government is committed to securing a strong future for WA – creating long-term local jobs in a clean energy economy.

“WA is best positioned to support a low-carbon steel project, given our vast reserves of high-grade iron ore, mature and advanced iron ore industry, local technological know-how, and significant renewable energy opportunities.

“We look forward to engaging with Rio Tinto, BHP and BlueScope on how we can support this project.”

As stated by Mines and Petroleum Minister David Michael:

“The global push to a low-carbon economy provides Western Australia with a unique opportunity to play a key role in efforts to decarbonise the steel-making supply chain.

“The support of new technologies by Western Australian iron ore companies demonstrates the commitment and foresight of a responsible and sustainable industry.

“I look forward to the development and progression in Western Australia of this and other low-carbon steel technologies that can be supported by our renewable energy opportunities and world class mineral reserves.”

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