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Nippon Steel and Anglo American Sign a Memorandum of Understanding Regarding Decarbonization Solutions

Jul. 14, 2022

Nippon Steel Corporation

Nippon Steel Corporation ("Nippon Steel") and Anglo American PLC ("Anglo American") have signed a memorandum of understanding to jointly deliberate and discuss solutions for accelerating the transition toward the carbon neutral steelmaking, including the reduction of CO2 emissions, through the optimal use of Anglo American iron ore.

Based on this memorandum, the companies plan to reduce CO2 emissions for the current blast furnace process through the optimal use of high-grade Anglo American ore, along with focusing on research related to the use of high-grade Anglo American iron ore within direct reduction processes, which have a lower environmental impact.

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beneficiation plant
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Anglo American high grade iron ore

In March 2021, Nippon Steel announced its "Nippon Steel Carbon Neutral Vision 2050," which is the company's original initiative to combat climate change. This initiative positions the attainment of carbon neutrality by 2050 as the top priority for the company's management, and makes efforts toward deliberating on and implementing various measures. By 2030, our plan is to achieve reduction of CO2 emissions by 30% compared to 2013 through the practical implementation of COURSE50 into the current blast furnace and basic oxygen furnace processes, reduction of CO2 emissions in existing processes, and establishment of an efficient production framework.  Toward 2050, we will take on the challenge of adopting ultra-innovative technologies such as mass production of high-grade steel in electric furnaces, drastic reduction of CO2 emissions through Super-COURSE50 and other developments in hydrogen reduction methods, and production of direct reduction iron using hydrogen, and we will aim to achieve carbon neutrality by taking a multi-aspect approach, including measures to offset carbon through CCUS and other methods.

In October 2021, Anglo American issued its climate change report and presented its ambition of a 50% reduction in Scope 3 carbon emissions by 2040, and further developed their existing commitments by aiming to attain carbon neutrality within all operations by the same year. The report offered a multilayered approach such as developing high-quality products that correspond to more efficient, low-carbon manufacturing processes, minimizing emissions while improving efficiency, and working with customers to boost initiatives toward decarbonization.

Nippon Steel will continue to pursue world-leading technologies and manufacturing capabilities, and contribute to society through activities that align with the Sustainable Development Goals (SDGs) adopted by the United Nations.

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