POSCO and BHP partner on hydrogen reduction steelmaking technology

POSCO and the Australian mining company BHP have signed a collaboration agreement to advance hydrogen reduction steelmaking technology. The partnership focuses on verifying the commercial viability of POSCO’s proprietary HyREX technology, which uses hydrogen instead of coal as a reducing agent to produce molten iron without carbon dioxide emissions.

Under the agreement, POSCO will utilize BHP’s iron ore to test the stability and performance of the HyREX process under various raw material conditions. This testing aims to determine optimal raw material requirements based on the specific characteristics and quality of the ore.

Beyond technical verification, the two companies intend to share expertise in raw material technology for hydrogen reduction and explore ways to reduce Scope 3 indirect greenhouse gas emissions during the supply process. This collaboration follows a memorandum of understanding signed last October between POSCO Group Chairman Chang In-hwa and Australian Prime Minister Anthony Albanese, marking an expansion of the bilateral relationship from resource trade into research and development.