Australian government to provide AUD 26 million in support for low emission iron production

The Australian government announced that it will provide AUD 26 million in support for the Perth based Element Zero pilot project, which aims to produce lower emission iron from iron ore.

The funding, provided under the Future Made in Australia Innovation Fund and administered by the Australian Renewable Energy Agency (ARENA), will be used for Element Zero’s project to convert Australian iron ore into high purity iron through an electrochemical process.

The project has a total investment value of AUD 53.7 million and aims to support Australia’s production of higher value added products from iron ore, develop expertise and skills, and strengthen local industrial supply chains.

Electricity and molten salt to replace coal

Element Zero will test an electrochemical iron production process as an alternative to coal and other carbon based inputs used in conventional iron production. The process, powered by electricity and using molten salt, will be assessed for its potential to produce iron with lower emissions.

The process at the pilot facility is planned to operate at approximately 400-450°C. This temperature is significantly lower than those used in conventional iron production.

The project will be implemented in two stages. In the first stage, a pilot facility with a production capacity of approximately 1 mt of iron per day will be established. Subject to official assessment, the capacity is planned to increase to 10 mt per day in the second stage.

Different Australian iron ores to be tested

The pilot project will test different types of Australian iron ore, including hematite-goethite. The work aims to demonstrate the viability of the technology for Australian and international steel producers.

The project forms part of the Australian government’s efforts to develop different technologies for lower emission iron production. ARENA’s portfolio also includes projects focused on hydrogen based iron production approaches alongside electrochemical methods.

The government considers green metals to be one of the priorities of the Future Made in Australia program. The program aims to generate greater value from Australia’s iron ore resources and industrial capacity and capitalize on opportunities created by growing global demand for low emission industrial products.