Name of the Project
Electric smelting furnace (ESF) pilot plant project.

Location
BHP and Hatch will assess several locations in Australia for the proposed facility, based on supporting infrastructure, technology skills and the availability of local partnerships to build and operate the facility.

Project Owner/s
BHP and Hatch.

Project Description
BHP and Hatch signed an agreement in March 2023 to design an ESF plant in support of a decision to build this facility in Australia.

The facility will accelerate the adoption of new iron and steelmaking technologies, providing BHP’s steelmaking customers with pathways to lower carbon dioxide (CO₂) intensity in steel production using iron-ore from BHP’s Pilbara mines.

When combined with a direct reduced iron (DRI) process, the ESF can continuously produce iron or steel from iron-ore using renewable energy and hydrogen, replacing fossil fuels.

Estimates show that reductions of up to 80% in CO₂ emission intensity could be achieved when processing iron-ore through a DRI-ESF pathway. The ESF allows for greater flexibility in ferrous raw material selection, addressing a key obstacle to wider adoption of other low CO₂ emissions production routes.

The ESF can be seamlessly integrated into a steel plant’s existing flowsheet, consequently allowing for continued use of assets, with minimal changes.

The pilot facility will allow for greater and more accurate insights into the performance of this technology for converting iron-ore into molten iron and steel. The planned test programme will derisk further investment in commercial-scale projects, thereby complementing the development plans of global steel producers.

This scale-up approach has been used by other industry demonstrations such as Sweden’s HYBRIT project.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
Not stated.

Capital Expenditure
Not stated.

Planned Start/End Date
Not stated.

Latest Developments
None stated.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
BHP, tel +61 3 9609 3333.