Vale and Posco Explore Emission Reduction Technologies

Vale has signed a Memorandum of Understanding (MoU) with South Korean steel company Posco to jointly explore and develop technologies to reduce CO2 emissions in steelmaking.

Potential solutions to reduce fossil fuel consumption include the production of Vale's high quality iron ore products such as pellets, fines and briquettes.

“The steel and mining industry is already in the midst of a transformation to develop low carbon solutions, and we are delighted to be with Posco on this project,” said Marcello Spinelli, vice president and director of ferrous metals at Vale. "Determining the decarbonization pathway will be critical in determining how the industry will meet the Paris Agreement goals and Vale is well positioned to lead the industry with a world-class high-quality portfolio and innovative technology."

According to Hagdong Kim, Posco Steel Production Director, the agreement will create a great synergy between the two companies towards carbon neutrality.

Vale estimates that by 2035 the company will meet its commitment to reduce net emissions in Category 3 by 15%. This is along with a 33% reduction in Category 1 and 2 emissions by 2030 and its plan to achieve climate neutrality by 2050.