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HIsarna, a Revolution in Steelmaking February 25, 2013 / Tim Peeters.

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Presentation on theme: "HIsarna, a Revolution in Steelmaking February 25, 2013 / Tim Peeters."— Presentation transcript:

1 HIsarna, a Revolution in Steelmaking February 25, 2013 / Tim Peeters

2 2 Paper & Steel : Common Ground? CO 2 intensive (1.1% vs 4% of man made CO 2 ) Energy intensive High recycling rate (70% vs 95%) Capital intensive Major facilities > 20 years life span Large sites, large installations Threshold for implementation of breakthrough technologies Trend of past 20 years Process efficiency, labour productivity increase From Fragmented to Consolidated industry Changing competitive landscape in major markets Sustainability and Climate Change challenge

3 3 The Challenge in Steelmaking Growth Sustainability World steel consumptionAmbition to cut CO 2 emissions will double in 2050 by 50 % in 2050

4 4 The International Approach Climate Change is Global Climate Change is Long Term Support at board level, governmental level, EU level Build industrial partnerships, bring people together Use a broad range of expertise Build a common language TheBrand: Ultra Low CO 2 Steelmaking

5 5 The ULCOS project Objective: 50% reduction in CO 2 emissions per ton of steel from iron ore based steel production by 2050 Globally the largest steel industry project on Climate Change mitigation Core partners: ArcelorMittal, Tata Steel, ThyssenKrupp, Ilva, Voestalpine, LKAB, DillingerHütte/Saarstahl, SSAB, Rautaruukki Co-partners: 48 Institutes, Universities, Engineering companies, etc Budget:75 M Duration ULCOS I:2004 – 2010 ULCOS II:2011 – 201…

6 6 ULCOS Consortium: 48 partners

7 7 Idea Experiment Pilot Demo Industry CO 2 and sustainability modelling Selection Industrial Demo ULCOS - I Project Selection Criteria CO 2 Economical Technical maturity Social acceptance Other environmental aspects Fit with existing configurations Pilot plant progress ULCOS - II Project Inventory of 200 process options

8 8 Common approach, definitions, boundaries Everything is assessed for one ton of Hot Rolled Coiled (HRC) Classical Integrated Steel Mill Gate to Gate approach for the Focus area: Ironmaking is responsible for 85-90% of CO 2 per HRC

9 9 Selection Process: Funnelling the Options CO 2 and sustainability modelling Selection ULCOS - I Project ULCOS - II Project Top Gas Recycling Blast Furnace Gas based reduction Electrolysis of iron ore HIsarna 4 processes selected Inventory of 200 process options Better use of Carbon in retro-fitted plants Better use of Carbon in a new process Replacing Carbon with Natural Gas or Hydrogen Green power, mimic Aluminium production

10 10 Top Three Hurdles to Manage Technical High intensity, high efficiency process development Focus on generic long-term solutions Financial High risk, high reward Partnering: sharing benefit + cost + effort + risk Industry contribution + local / national / European funding Organisational Consortium People: availability, expertise, critical mass Communication Public relations Intellectual property

11 11 Iron ore coal Steel Production Process Route Where does HIsarna fit? Ironmaking Steelmaking Casting Rolling & Coating Steel products

12 12 Iron ore coal coke sinter Liquid iron Blast furnace HIsarna technology Comparison with the Blast Furnace route

13 13 Iron ore coal coke sinter Liquid iron Blast furnace Direct use of coal and ore No coking and agglomeration HIsarna technology Comparison with the Blast Furnace route

14 years of preparation before the first experiments HIsarna pilot plant

15 15 Key Success Factors Commitment from all levels Financial support Logistical, Engineering and R&D know-how on site Cooperation Perseverance Fast cycle of learning and improving Construction September 2010

16 16 Cold Commissioning, January 2011

17 17 First Start-up, April 2011

18 18 First HIsarna Hot Metal, May 2011 Production runner HIsarna pilot plant

19 19 With the ULCOS and HIsarna project the European steel industry is proactively approaching the Climate Change issue In the HIsarna project knowledge and experience of steelmakers and equipment suppliers from all over Europe is brought together HIsarna is a high risk/high reward innovation with the potential to have a strong environmental and economical impact on the steel industry Environmental impact: Without CO 2 capture and storage 20% reduction With CO 2 capture and storage 80% reduction Strong reduction of other emissions Economical impact: Wider range of raw materials Lower CapEx, OpEx HIsarna Summary

20 20 Challenges for HIsarna Future Demonstrate robustness of technology Further pilot plant campaigns: people, time, funding Up-scaling to industrial size Transition from generic to specific (location, size, configuration) Investment 250 M (± 50 M) Demonstration scale should have a competitive business case Governments can support this Many potential innovations in ironmaking have not survived this step Sustainable industry future, supported by National and European policies Review the 2050 Roadmap (environmental, economical, social landscape) Develop business case for pushing out Blast Furnace technology

21 21 What have we learned along the way? Think big: Focus on breakthrough, not incremental Partnerships, collaboration, trust Set scope, targets, common definitions Clear funnelling & selection process: Generic, Long Term solutions Handle good ideas outside the scope Dont bet on one horse When stakes get higher, stay connected with the business strategy Innovation comes from people with expertise


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