Ferrexpo claims DR pellets lower carbon emissions by 37% in new study

As part of its Life Cycle Assessment ('LCA'), completed in collaboration with environmental consultants Ricardo Plc, the company aimed to evaluate its contribution to potential environmental benefits related to steel production using its direct reduction (DR) pellets.

Findings of the LCA show that the Direct Reduced Iron - Electric Arc Furnace (DRI-EAF) steelmaking process, using Ferrexpo's high-grade premium Direct Reduction (DR) pellets, offers reductions of 37% embodied carbon emissions, compared to the sinter-operated BF, in the BF-BOF route of steelmaking.

The associated embodied carbon value of Ferrexpo DR pellets was calculated to be 172kg CO₂ equivalent per tonne of DR pellets.

Ferrexpo is using this initial LCA to explore how to further reduce its impacts across a range of environmental issues including water and waste. The group is also engaging with its customers on these initiatives, including the possibility for further LCAs to better understand the impact of its other premium high grade iron ore products.

Commenting on the emissions benefits of using Ferrexpo's premium high grade DR pellets, Yaroslavna Blonska, acting group chief marketing officer said: "As a supplier to the global steel industry, we are aware that our customers, and end users, want to reduce carbon emissions in steel making. It is pleasing therefore that the Life Cycle Assessment we completed with Ricardo plc, which was also independently verified, has determined that when a steel manufacturer uses Ferrexpo's DR pellets in an electric arc furnace, to produce a tonne of steel billet, 37% less carbon is emitted compared to traditional steel production methods. This means that Ferrexpo and Ukraine can play a leading role in enabling the transition to greener steel, not only today, during a time of war, but also in the future, when we can return to full capacity, and contribute meaningfully to the reconstruction of Ukraine."

Source: Financial Times