Hy4Smelt: Start of construction for CO₂-neutral steel demonstration plant

Hy4Smelt: Start of construction for CO₂-neutral steel demonstration plant

With the groundbreaking ceremony for Hy4Smelt, construction begins at the voestalpine location in Linz for the world's first industrial demonstration plant that can combine two processes - a hydrogen-based direct reduction for ultrafine iron ores and an electrical smelting process. The demonstration plant is scheduled to be commissioned on an industrial scale by the end of 2027 and the project will end in 2030. The total costs amount to around 170 million euros. This makes Hy4Smelt the largest research project for climate protection in Austria.

The Hy4Smelt demonstration plant combines hydrogen-based direct reduction (Hyfor = hydrogen-based fine-ore reduction) for ultrafine iron ores with an electrical melting process (smelter). The directly reduced iron (DRI) or the sponge iron produced in the Hyfor process is melted in the smelter and the slag is separated. In this way, analogous to today's blast furnace process, high-quality pig iron is created for the production of sophisticated steel grades. The slag serves as a raw material for further industrial processing.

As voestalpine, we are already successfully on our way to the next generation of steel production. In order to achieve our long-term goal of steel production with Net-Zero-CO₂-Emissions by 2050, we are researching several new processes together with partners from industry and science and investing in projects that show new ways in steel production. The start of construction of the globally unique Hy4Smelt demonstration plant once again confirms our technology and innovation leadership in the area of ​​green steel production.
Herbert Eibensteiner, CEO of voestalpine AG

voestalpine has been considered an environmental benchmark in the industry for many years and, with greentec steel, has a clear step-by-step plan for transforming its steel production. From 2027, a green electricity-powered electric arc furnace will go into operation at the locations in Linz and Donawitz. By 2029, up to 30 percent CO₂-Emissions can be saved compared to 2019. This corresponds to almost 5 percent of the annual CO₂-Emissions from Austria. This makes greentec steel the largest climate protection program in Austria.

Primetals Technologies: new era of steel production

“With today’s groundbreaking we are taking a decisive step towards CO₂-neutral iron production. We are introducing technology solutions that have the potential to revolutionize the entire industry," explains Alexander Fleischanderl, CTO and Head of Green Steel at Primetals Technologies. "The steel industry has to take new paths. Coal-fired blast furnaces, which have been the backbone of iron production for centuries, cause significant and increasing environmental pollution. This is exactly where Hyfor and Smelter come in. With these We are paving the way for a new era in iron production.” Primetals Technologies has also entered into a strategic partnership with Mitsubishi Corporation as a co-investor for the industrial-scale Hy4Smelt demonstration plant in Linz.

Raw materials and know-how from the mining company Rio Tinto

Rio Tinto will provide 70 percent of the iron ore required for the Hy4Smelt plant and provide technical support for the project. The company is also committed to the further development and commercialization of Hyfor and Smelter technologies. "We are pleased that construction work for the Hy4Smelt demonstration plant in Linz is now starting. This milestone illustrates the successful cooperation within the consortium. By making our iron ore resources and our technical expertise available, we are making a contribution to researching innovative processes for low-emission iron production. Even though there is still a lot of knowledge to be gained, we are confident that fluidized bed and... Electric melting technologies offer promising potential for the sustainable development of the steel industry,” explains Rafael Azevedo, General Manager, Iron Ore Sales and Marketing Atlantic at Rio Tinto.

Successful further development of existing research projects

The Hyfor (Hydrogen-based fine-ore reduction) process, a pioneering technology from Primetals Technologies, has been in operation as a pilot plant at the voestalpine Donawitz site since 2021. Combined with the smelter newly developed by Primetals Technologies, these two technologies are being used industrially for the first time in the Hy4Smelt project. The hydrogen required for the direct reduction in the Hy4Smelt plant comes from the world's longest-running PEM electrolysis plant H2FUTURE at the Linz location. As part of the follow-up project H2FUTURE-Follow-Up, the previous research activities on hydrogen production in terms of purity, pressure increase and storage will be consistently further developed together with the network.

With a total cost of around 170 million euros, Hy4Smelt is the largest research project for climate protection in Austria in terms of investment costs. The European lighthouse project Hy4Smelt is partially financed by Austrian and European funding institutions. The scientific partner is K1-MET, one of the leading international competence centers for metallurgical and environmental process development. (gw)