British equipment supplier Binding Solutions has signed a deal with Australia's Mineral Resources to support its new technology, which the former company claims could slash emissions from iron ore by hundreds of millions of metric tons a year.

Mineral Resources Ltd (MinRes) - a major producer of iron ore and also a service provider to miners – has agreed to invest $17.5 million in the British company and license the technology, according to a company statement.

As stated in a report by Reuters, privately-held Binding Solutions' technology cuts energy and CO2 emissions in the production of iron ore pellets by more than 90% compared to the established method of using heat of over 1,200°C.

"Iron ore dwarfs every other metal in the energy transition and is also the biggest polluter."

Julian Lee, chief executive of Binding Solutions

"Iron ore dwarfs every other metal in the energy transition and is also the biggest polluter," Julian Lee, chief executive of Binding Solutions, told Reuters.

Binding Solutions already has development agreements with 12 companies, including some of the largest iron ore and steel producers, Lee said, declining to name them due to confidentiality agreements.

MinRes provides mining services to iron ore producers in Australia, including BHP Group and Rio Tinto.

Binding Solutions has commissioned a pilot plant at its headquarters at Teesside in northern England and the new investment will fund a full-scale demonstration plant by 2025 or 2026, with capacity of 350kt to 40kt a year, Lee added.

The company has stated that the technology could also be used on waste dumps and other minerals such as lithium.

Source: Reuters