Posted by Daniel Gleeson on October 18, 2021
Vale says it has signed a memorandum of understanding with Jiangsu Shagang Group Co Ltd in which the two agree to seek opportunities to develop steelmaking solutions focused on reducing CO2 emissions.
Vale and Jiangsu Shagang intend to develop economic feasibility studies on (i) the use of low carbon footprint products in the ironmaking process, as high grade iron ore products; and (ii) cooperation on “Tecnored” factories, Vale said.
This initiative helps achieve Vale’s commitment to reduce net Scope 3 emissions by 15% by 2035, he said.
Additionally, Vale seeks to reduce its absolute scope 1 and 2 emissions by 33% by 2030 and achieve neutrality by 2050, in line with the Paris Agreement.
Tecnored is a wholly-owned subsidiary of Vale that focuses on developing a low-carbon pig iron process through the use of energy sources, such as biomass and syngas, which emit less CO2 than the coal and coke used in traditional ironmaking processes. With biomass, the path to economic carbon neutrality can be achieved in the medium term.
Jiangsu Shagang is a Chinese steel producer and service provider. It has five production sites, mainly located in Jiangsu, Liaoning and Henan provinces.
