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Strategic partnership between Porto do Açu and mining company Vale aims to develop sustainable HBI manufacturing hub
Vale and Porto do Açu are taking a crucial step towards a more sustainable future in the steel industry with the signing of a Memorandum of Understanding (MoU). This agreement aims to study the development of a mega hub in Porto do Açu, located in the northern region of the state of Rio de Janeiro, for the manufacture of HBI (Hot Briquetted Iron or sponge iron).
This pioneering initiative is coordinated by Porto do Açu and involves academics from the sector, focusing on the use of HBI as a partial load in blast furnaces, aiming to reduce greenhouse gas emissions and increase steelmaking productivity, without the need for replacement. of existing productive assets, according to the website Portos e Navios.
HBI is currently most commonly used in electric arc furnaces, while most Brazilian steel mills use blast furnaces. Vale's proposal to use HBI in this type of furnace represents a smooth transition to the decarbonization process of the steel industry. Vale will explore alternatives for supplying iron ore agglomerate, like pellets or briquettes, to support this project.
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Clean energy and potential for green hydrogen in the steel industry
The project foresees the production of HBI using natural gas, which will be available at Porto do Açu. Furthermore, there is the possibility of converting this production to green hydrogen in the future, which would result in HBI with near-zero carbon emissions in the steel industry. This means a major step forward towards a cleaner and more sustainable steel industry.
This agreement with Porto do Açu is part of Vale's efforts to develop the Mega Hubs model in Brazil. These industrial complexes are focused on manufacturing low-carbon steel products. Vale is already implementing this model in three countries in the Middle East (Saudi Arabia, United Arab Emirates and Oman). The objective is to transform Brazil into a low-carbon steelmaking hub, taking advantage of the country's natural resources, like ore high-quality iron and abundant natural gas reserves, along with the potential to develop green hydrogen.
The potential of the energy transition in Porto do Açu
The CEO of Porto do Açu, José Firmo, highlights the importance of this partnership for the energy transition in Brazil. With its unique port infrastructure, strategic location and competitive Brazilian natural gas prices, Porto do Açu is well positioned to contribute significantly to the decarbonization of the steel industry, both domestically and internationally.
The use of HBI in blast furnaces can reduce greenhouse gas emissions by around 25%, aligning with the goals of reducing emissions by 2030. This puts Brazil on the path to becoming a major producer of HBI, supplying steel mills around the world. This strategic partnership between Vale and Porto do Açu is a significant step towards a cleaner, more efficient and environmentally friendly steel industry.
