Australia’s Fortescue has partnered with a wholly-owned subsidiary of China Baowu Steel Group, the world’s largest steelmaker, to tackle the challenges of decarbonizing the global steel industry.
Fortescue, the fourth-largest iron ore supplier globally, signed a memorandum of understanding with Baowu Resources earlier this week, as announced on its WeChat account.
“We are committed to building a green iron supply chain,” said Fortescue COO Shelley Robertson. “The partnership with China Baowu will accelerate the development of green iron technology and help meet the growing demand for green iron in and outside China.”
Fortescue’s green iron project at its Christmas Creek operations in Western Australia is underway, with plans to produce over 1,500 tons of green iron annually, starting in 2025. The company aims to make all its iron ore products green by 2030. The plant will use green hydrogen in a reduction furnace to convert iron ore into sponge iron, which will then be processed in an electric smelting furnace to produce high-purity green iron.
