Posco has signed a MoU with BHP to jointly advance ‘near-zero emissions’ ironmaking through Posco’s hydrogen reduction ironmaking technology (HyREX). The collaboration will focus on developing and testing a hydrogen-based direct reduced iron (DRI) process that uses fluidised bed reactors (FBR) and an electric smelting furnace (ESF) to produce and melt reduced iron.
Under the partnership, the two companies will share technical expertise and conduct trials using BHP’s Pilbara iron ore at Posco’s upcoming HyREX demonstration plant in Pohang, South Korea. Once completed, it will be the first large-scale facility to integrate hydrogen-based FBR technology with an ESF for ironmaking.
Unlike traditional shaft-based DRI processes, Posco’s system can use fine iron ore directly without pelletizing, offering cost and energy efficiency benefits.
The project aims to scale up to a 300,000 tons per annum hydrogen-based FBR-ESF plant, with construction at Pohang Steelworks expected to begin soon and commissioning targeted for 2028.
