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hydrogen

Hazer and POSCO Collaborate to Decarbonize Steel Production with Hydrogen

Anela DoksoBy Anela Dokso31/05/20242 Mins Read
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In a noteworthy development within the hydrogen energy sector, Hazer Group has signed a non-binding Memorandum of Understanding (MOU) with POSCO Steel to explore integrating Hazer’s hydrogen production technology into POSCO’s low-carbon steel manufacturing processes.

POSCO, headquartered in Pohang, South Korea, is a global steel giant with a firm commitment to achieving carbon neutrality by 2050. The company has outlined an ambitious roadmap to reduce emissions by 10% by 2030, 50% by 2040, and 100% by 2050. Hazer Group, with its proprietary methane pyrolysis technology, aims to support POSCO in this endeavor by producing clean hydrogen and low-emission graphite.

The MOU outlines a two-year collaborative effort where both companies will develop a plan to integrate Hazer’s technology into POSCO’s steel production process. This integration is expected to significantly lower carbon emissions associated with steel manufacturing, a sector notoriously difficult to decarbonize.

Hazer’s methane pyrolysis technology offers a dual benefit: producing clean hydrogen and graphite. Hydrogen is a potential game-changer for the steel industry, providing an alternative to carbon-intensive coking coal in blast furnaces and direct reduced iron (DRI) processes. Graphite, another byproduct, can be used within the steelmaking process and other industrial applications.

POSCO’s due diligence on Hazer’s technology underscores the potential of this collaboration. Dr. Seong-yeon Kim, POSCO’s Head of Technical Research Lab, emphasized the importance of reducing emissions in steelmaking and highlighted the potential benefits of Hazer’s technology in achieving their carbon neutrality goals.

Globally, the steel industry is responsible for over 8% of carbon emissions, making decarbonization efforts within this sector critical for meeting international climate targets. Various initiatives worldwide aim to integrate hydrogen into steel production. For instance, Europe’s HYBRIT project and Japan’s COURSE50 project are prominent efforts towards hydrogen-based steelmaking.

Hazer and POSCO’s partnership aligns with these global benchmarks, highlighting the importance of technological innovation in achieving sustainable steel production. However, challenges remain, particularly in scaling up hydrogen production and ensuring the economic viability of these processes.

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