The pilot plant will test reduction processes using hydrogen and natural gas, providing critical technical data for the company’s US investment.
According to industry sources, Hyundai Steel recently began construction of the pilot facility in Dangjin, which will have the capacity to produce 30 kilograms of molten iron per hour. The plant is scheduled to become operational next year.
The pilot facility will be around one percent the size of the large-scale unit planned for the US.
The Dangjin pilot plant is designed to be approximately one percent the scale of the full DRI equipment to be installed at the Louisiana facility. This small-scale model will allow Hyundai Steel to gather key data, including feedstock cost calculations for reduction materials, methods for capturing and reusing exhaust gases, and ways to optimize production efficiency.
Based on these data, the company aims to commission the Louisiana plant smoothly and earlier than originally planned. These optimizations are also expected to directly contribute to the production of high-quality automotive steel sheets for US automakers.
Staff expansion for US investment
Hyundai Steel doubled the headcount of its North America business unit last year to accelerate the Louisiana project, as this team oversees construction of the plant. During the same period, the company intensified efforts to develop hydrogen-based reduction technology and expanded its specialist workforce within its low-carbon technology office.
The Louisiana plant, being built with an investment of USD 5.8 billion, will be the world’s first electric arc furnace integrated steelworks. The facility is planned to supply 2.7 million tonnes of steel products annually to manufacturers such as Hyundai Motor, Kia, Ford and General Motors. As part of the complex, a 100-metre-high DRI unit will also be installed to reduce iron ore pellets.
Comments
No comment yet.