JFE Steel Plans Multi-Billion Investment in Low-CO2 Steel
09/01/2022 - Japan’s JFE Steel is prepared to invest the equivalent of US$7.2 billion to reduce its carbon dioxide emissions, in part through building electric arc furnaces, according to the Reuters news service.
According to Reuters, the company aims to reduce emissions by 30% from 2013 levels over the next eight years.
To that end, JFE said in a statement it has agreed to work with Japanese general trading company Itochu Corp. and Emirates Steel Arkan, the largest steel company in the United Arab Emirates (UAE), to develop a low-carbon ironmaking supply chain.
Under the plan, Emirates Steel will produce low-CO2 iron by way of natural-gas-based direct reduction, but with carbon emissions being injected into UAE oilfields for enhanced oil recovery.
JFE would then buy the iron produced through this project as a steelmaking raw material. A joint-venture plant is to be built in the UAE, with production expected to begin in the second half of fiscal 2025.
