“Hydrogen for Decarbonization of Iron &Steel Sector & Green Pathways”

Dr Mukesh Kumar

Senior Advisor-JSP Group Advisory Services

Need for Decarbonization of Steel Sector❖ Steel making is carbon intensive and considered as “ Hard to Abate” Sector❖ Steel Industry is generating around 1.85 t CO2 / tcs contributing to around 7-9% in
the overall global emissions. Average Carbon emission in India is around 2.5% t
CO2/Tcs –nearly 10-12% of total emissions .

❖ India’s per capita consumption of steel @ 78Kg is one of the lowest against globalaverage of 228 Kg. Being a developing country, steel demand set to increase.
❖ Indian Steel production capacity likely to increase to 300 million TPY from existing
capacity of 155 million TPY by 2030 and to around 500 million TPY by 2047.

❖ Presently limited opportunities are available for alternate steel making, although
efforts are being made to develop disruptive technologies based on Hydrogen,
Electrolysis viz Molten Oxide Electrolysis, Oxygen Decoupled Electrolysis etc❖ To limit global warming to a maximum of 2 °C above pre-industrial levels—the goal of
the 2015 Paris climate agreement—the steel industry’s annual emissions must fall toabout 500 million t of CO2 by 2050 i.e 0.2 T CO2 / Tcs from present level of 1.85T/Tcs

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GHG Emissions- Steel Sector
Scope 1: Direct GHG Emissions
GHG emissions from sources that are owned or controlled by a particular production entity e.gemissions from Coke Ovens, Sinter Plant, BF, BOF etc. in an integrated steel plant.
Scope 2: Indirect GHG Emissions
GHG emissions occur at the facility outside the unit e.g. from the generation of importedenergy, defined as electricity and / or heat that is purchased and brought into theorganizational boundary of the company
Scope 3: Other Indirect GHG Emissions

GHG emissions as a consequence of the activities of the company, but occur from sources not
owned or controlled by the company, e.g. manufacture of steel products , transportation
Focus need to be on adoption of Low Carbon Emission Steel making roadmap to achieve carbon Neutrality by 2070 based on Scope-1 & 2 emissions
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Possible Green Pathways
1. Improvement in Existing Technologies ( CO2 Reduction Potential: 25-30%)
Focus on raw material quality through beneficiation & pelletization, energy
efficiency through waste heat recoveries & use of natural /syngas , productivity
improvement , process reliability through digitalization, waste management andadoption of best available technologies (BAT), Hydrogen Injection ( upto 70%)
in Gas based DRI & Blast Furnaces, Use of Plastic Waste & CCU
2. Maximize Scrap based Production ( CO2 Reduction Potential: 10-20%)
Maximizing use of Scrap in EAF, IF and BOF. Although, it has high potential toreduce CO2 emissions but limited availability of Scrap may result in limited
reduction of emissions. Use of renewable power in EAF , IF and Integrated steel
plants and minimizing Coal based power
3. Breakthrough Technologies ( CO2 Reduction Potential : Carbon Neutrality)
Green Hydrogen based steel making, Carbon Capture Utilization & Storage( CCUS), Molten Oxide Electrolysis ( MOE) / ODE using renewable power ,4Decarbonisation Pillars for Steel Business
CO2Minimization• Syngas basedproduction• Resource optimisation• Pallet feed in blast
furnaces• Zero waste approach

CO2Avoidance• Scrap based production• Heat recovery from offgases• Heat recovery fromslags• Use of renewable power• Enhancing hydrogenusages / Hydrogenbased steel

CarbonCircularity• CO2 to CO• CO2 to syngas• Dry reforming of CO2Carbon Capture& Utilization• Fuels – bioethanol• Chemicals – methanol• Biological – crude algaeoil (biodiesel/ SAF)

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Hydrogen Based Steel Making Vs Conventional SteelmakingCarbonAvoidance66

HYDROGEN AND STEEL MAKING-FACTS❑ Hydrogen based reduction is endothermic reaction. Requires external source of heat/
energy to carry out reaction❑ Direct production of hot metal/ steel not feasible, shall require EAF to produce steel❑ Theoretically 54 Kg and practically around 70-80 Kg of Hydrogen is required to produce
each tons of steel. Large capacity H2 generator is a challenge.
❑ Technically feasible to produce steel from non-carbon energy sources ( H2), but it is anexpensive option. 50-55 KWh of energy required per Kg of Hydrogen❑ Surging carbon dioxide prices and decreasing hydrogen prices are crucial to ensuring theeconomic viability (according to cash cost) of pure hydrogen-based steel production

TECHNO-ECONOMIC CONSTRAINTS❑ High Investment made in efficient integrated steel
plant ; loss of value due to transition to Hydrogen❑ Large Capex and Opex required for transition;
Government support may be a necessity❑ Hydrogen Based DRI / Steel making : lack ofcommercially proven technology and not yet
competitive, globally difficult to compete❑ Competitive energy prices and reduced cost ofHydrogen is essential
Steel is a globally traded commodity, and with over half the world’s production coming outof China, competitive pricing is non-negotiable

Carbon circularity in Syn Gas & BF-JSP

CarbonCircularity

CO2Syngas
DRIPlanning

Top gasExisting
RectisolSyngasAmine Wash
Gasification

CO2Blast
Furnace

Tail gas
ReformerCoke Ovens

PSA

NH3, Urea,Algae, CH3OH
H2Carbon Recycling & Re-use

Green H2
GreenEnergy

Triple Module CO2 treatment system for
Carbon Circularity
99Road Map for CCUS and Heat Recoveries in BF-BOF

CarbonCircularity1010

Energy Saving Technologies ( BAT)
Energy Saving
Technologies

EnergyFlowApplications

Energy Saving Potential

Top Pressure Recovery
Turbine(TRT)BF GasBFG Pressure reduction

Electricity generation @30Kwh/thm

BFG dry dedusting&heat recovery

BF GasBF Gas Scrubbing

Increase of 30% in TRT power generation andincrease of lower heating value ( LHV) by 58%

LD Gas dry-dedusting&recoveryLD gas

LD Gas scrubbing

Increased Steam Generation and lower
heating value by appx 5%

High Temperature AirCombustion

BFG, LDG, COG

Reheating Furnace and hot
blast stoves

20-30% increase in thermal efficiency

Coke Dry Quenching

Coke

Coke quenching

Electricity generation@95-105Kwh/T(Coke)

Pulverized Coal Injection

CoalBlast Furnaces

Reduction of 10Kg/thm of Coke for appx
15Kg/thm of PCI

Use of VFD and energy
Management system

Electricity

Entire Plant

Upto 10-15% reduction in energy
consumption

Dry reforming ofMethane of COG

COG

Coke Oven

Methane in COG to be converted into Syn
gas and used in BF. Saving of PCI & Coke.
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Promoting Efficiency in BF-BOF
Parameters

PresentConsumption

Target-2047

Likely Technology Intervention

Specific Energy, Gcal/tcs

5.6-6.7<5Iron Ore Grade Improvement, Pellets feed
TRT,CDQ, Waste Heat Recovery, COG/NG
injection, Renewable Power, Dry Slag
Granulation (DSG), Organic bindersSpecific WaterConsumption, M3/tfs

3.3-4.5<2.5

Dry Disposal of Tailings, CDQ, DSG, Dry
Dedusting of BOF and LD gas, COCimprovement,

GHG Emission, T ofCO2/tcs

2.3-2.8<1.5

CCU, Heat Recoveries and Power
Generation, CDQ, 60-70% pellets feed,
Maximizing Scrap in BOF, NG/Hydrogen/
COG injection, Increasing PCI, Hot blast
temperature

Coke Rate, Kg/Thm

350-450275-300

Pellets Feed, Iron Ore grade improvement,
Micro pelletization for waste dust/sludge,
NG/COG/Plastic/Oil injection,

Pulverized Coal Injection,PCI, Kg/thm

75-180>200Pellets feed, Iron Ore Grade Improvement,
Sinter quality,
12Promoting Efficiency in BF-BOF
Parameters

PresentTarget-2047
Consumption

Likely Technology Intervention

Blast Furnace Productivity,
T/M3/day

1.6-2.5

3-3.5

Iron Ore Grade Improvement, Pellets feed,
Coal & Coke quality, Sintering quality

Slag Rate, Kg/thm

350-450<300

Iron Ore Grade Improvement, Pellets feed,
Coal & Coke quality, Sintering quality

Zero Discharge

CDQ, DSG, Dry Dedusting of BOF and LDgas, Nano Technology for Cyanide treatment,
Advanced waste water treatment

Effluent Discharge

Dust EmissionMOEF&CC norms

MoEF&CC norms

Dry Filters, ESP, Vacuum Extraction system

Solid Waste Utilization, %60-80

Zero Waste

Micro pellets, Composite pellets, briquetting,Integrated Slag management for use inCement, Road and Fertilizers

Employee Productivity,
Tonnes of steel/per
man/year

400-800>1500

Digitalization, Supervisory Process Control,(Industry 4.0)
13Innovation is key to success.

De-carbonization strategy may influence future growth of the steel
Industry. Hydrogen can be an option but requires large R&D to address
technological challenges and minimize cost of production