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The shift towards green hydrogen-based direct reduced iron (DRI) processes is widely considered a key step in the global steel sector’s decarbonisation pathway.
While supply of suitable direct reduction-grade iron ore is a potential headwind, developments in mining and processing combined with technology solutions present a path to zero-emissions DRI.
The current dominance of coal-consuming blast furnace operations gives iron ore miners an incentive to continue producing blast furnace-grade iron ore, rather than DR-grade ores with higher iron content. Remedies include developing mines that can produce high-quality ores and new technology configurations that allow use of blast furnace-grade ore in DRI processes.