ArcelorMittal,the world’s largest steelmaker, has received a €75m (approximately £68m) loan towards two projects in Belgium that are developing technologies to produce steel with fewer carbon emissions.
Many industries rely on steel. For example, warehouses use shelving, packing tables and storage trolleys made from tubular steel which is both light and strong. Its production can lead to heavy carbon emissions during the manufacturing process, but that is something this loan from The European Investment Bank (EIB) hopes to address.
ArcelorMittal has demonstrated in a pilot plant that the waste gases from blast furnaces can be captured and recycled into carbon ethanol, which can be used in the production of liquid fuel. Funds from the EIB loan will help achieve the target of producing recycled carbon ethanol of at least 80 million litres a year.
The second project is the demonstration Torero plant that creates bio-coal from waste wood, replacing a proportion of the coal used in blast furnaces.
Ambroise Fayolle, the vice-president of the EIB, said:
“Europe keeps its ambitious climate targets and the EIB, the EU climate bank, is committed to continuing to be a key partner. In particular, in the steel industry, it means finding new ways to power machines and processes that are essential for reducing carbon emissions.”
The European steel industry aims to produce competitively priced steel while reducing the carbon emissions created in the manufacturing process. Leading names like ArcelorMittal are at the forefront of developing the technologies to achieve this target.
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