Factbox: German steelmakers embark on decarbonisation course

Swiss Steel Holding AG

26/03/2021 11:35

FRANKFURT, March 25 (Reuters) - German steelmaker Salzgitter
 SZGG.DE  this month started to produce hydrogen using wind
power with a view to reducing carbon dioxide emissions (CO2)
long term while the European head of ArcelorMittal  MT.LU  also
told Reuters the company wants to decarbonise its
processes. urn:newsml:reuters.com:*:nL8N2L86B0 L8N2LM5J9 
    The efforts come in the context of national and EU level
goals to cut emissions to protect the climate, while ensuring
key industries can survive amid rising environmental costs.
    Following are green transformation initiatives by
steelmakers in Europe's biggest economy.
    Germany's steel industry emitted 58 million tonnes of CO2
emissions in 2019.
    
    SALZGITTER 
    Plans to successively replace coal-based gases necessary for
smelting iron ore with hydrogen. Will use natural gas as a less
CO2 intensive transition fuel.
    Has pre-emptively covered much of its output up to 2030 with
EU carbon emissions allowances to buy time for its strategy
shift. urn:newsml:reuters.com:*:nL8N2EF1TI
    Is due to test production of sponge iron by direct reduction
(DRI) and smelt it in an electric arc furnace at Salzgitter. 
    Plans DRI activities and green hydrogen at
Wilhelmshaven. urn:newsml:reuters.com:*:nFWN2E10O6
    
    Thyssenkrupp  TKAG.DE  
    In the process of exploring deeper cooperation with Equinor
 EQNR.OL  which produces hydrogen from natural gas for
Thyssenkrupp's Duisburg plant, and with pipeline operator Open
Grid Europe (OGE).
    "Blue hydrogen" would be sequestered and transported to the
Dutch or Norwegian North Sea to be stored in empty subsea oil
and gas fields. urn:newsml:reuters.com:*:nL8N2KO5P2 
    Has identified potential hydrogen production sites at Dutch
and German offshore wind farms.
    Pooling small electrolysis plants with E.ON
 EONGn.DE  urn:newsml:reuters.com:*:nL8N2E72ON and signed up to use RWE  RWEG.DE 
produced hydrogen  urn:newsml:reuters.com:*:nL8N2DN2K5.
    Thyssenkrupp unit Uhde Chlorine Engineers (TKUCE) will scale
up electrolysis capacity and is eyeing cooperation with Saudi
Arabia.  urn:newsml:reuters.com:*:nL8N2IW3E7
    
    ArcelorMittal  MT.LU 
    Is testing plans to deploy "smart carbon" using carbon
recycled from bioenergy and green power and carbon capture and
usage (CCU), while also pursuing DRI plans already in practice
in Hamburg at Bremen and Eisenhuettenstadt.  urn:newsml:reuters.com:*:nL8N2E21OA

 (Reporting by Vera Eckert, editing by Elaine Hardcastle)
 ((vera.eckert@thomsonreuters.com; +49 30 2201 33654;
@EckertVera;))